The best example of a durable good is

A publisher is deciding whether or not to invest in a new printer. The printer would cost $500, and it would increase cash flows by $600 for the next two years. If the cost of capital is 10% then the net present value of the investment is

a. $1041.32 b. $541.32 c. $1090.91 d. $590.91

Over a period of time, the equilibrium price of a good increases and the quantity decreases. All of the following could account for this situation, except:

A. An increase in the costs of production B. The removal of a subsidy on the good or service C. The imposition of a sales tax on the good or service D. A decrease in the price of an alternative good or service that producers could also produce