Suppose the growth rate of the firm's profit is 7 percent, the interest rate is 10 percent, and the current profits of the firm are $120 million. What is the value of the firm?

If the consumption function is given by C = 200 + 0.6YD, then an increase in taxes of 50 units will cause the IS schedule to

a. shift to the right by 75 units.. b. shift to the left by 50 units. c. shift to the left by 75 units. d. shift to the left by 125.

If widgets and gidgets are complements and both are normal goods, then an increase in the demand for widgets will result from:

A. a decrease in the price of gidgets. B. an increase in the price of widgets. C. a decrease in income. D. an increase in the price of widgets and a decrease in income.