Figure 11-2

In Figure 11-2, at what price would the monopolist maximize profit?

The McFadden Act was passed to prevent

A) banks from competing on the basis of deposit rates. B) foreign banks from operating in the United States. C) large nationwide banks from forming. D) banks from holding corporate stock as an asset.

Which of the following properties does not apply to convertible stock?

a. no role in corporate decision making b. prior claim on dividends over bondholders c. prior claim on dividends over other stocks d. dividend yield is fixed e. represents an ownership claim on a corporation