A decrease in demand and a decrease in supply, will lead to a(n) ________ in equilibrium quantity and a(n) ________ in equilibrium price.

Which of the following is an explicit cost of production?

A) wages paid to workers B) the electric bill C) purchases of raw material D) Only answers A and B are explicit costs because the purchases of raw material is only an opportunity cost. E) Answers A, B, and C are all correct.

If a stock's dividend is expected to grow at a constant rate of eight percent in the future

and it has just paid a dividend of $1.25 a share, and you have an alternative investment of equal risk that will earn a 12 percent rate of return, what would you be willing to pay per share for this stock? A) $31.25 B) $1.40 C) $1.25 D) $1.12