Suppose Carlos has a 60 percent chance of not collecting $100,000 when his rich uncle dies in 10 years. Juanita wants to buy the rights to this possible inheritance from Carlos. How much is the possible inheritance currently worth to Carlos? Assume the interest rate is 9 percent.

Explain the business cycle by describing the phases and turning points

What will be an ideal response?

Suppose sugar and artificial sweeteners are perfect substitutes for Sam. Her indifference curves for those two goods would be

A) downward-sloping and convex to the origin. B) downward-sloping and straight lines. C) L-shaped. D) downward-sloping and concave to the origin.