This graph represents the cost and revenue curves of a firm in a perfectly competitive market.According to the graph shown, the long-run output decision for this firm is:

If the supply price on 100 acres is zero, then $30 for the next 100 acres, and finally $60 for the third 100 acres, the supply curve of land curve is

a. vertical at 100 acres b. a straight, upward-sloping curve starting at the origin c. horizontal at $30 (the average rent) d. upward-sloping and step-shaped e. U-shaped starting at $30 (the average rent)

Darius lent Alejandro $1,000 for one year with the understanding that Alejandro would repay $1,070 . If the actual inflation rate was 7 percent, what was the real rate of interest Darius received?

a. 14 percent b. 7 percent c. 4 percent d. 0 percent e. -7 percent