Which statement is asserted by the theory of absolute advantage?
A) A country should export those goods for which it is more productive than other countries and trade for those goods for which other countries are more productive.
B) A country should import goods from developing economies in order to maximize returns on profit and economies of scale.
C) A country will have a comparative advantage if it makes products that rely on global supply networks.
D) Most trade in manufactured goods should be between countries with similar per capita incomes.
A
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On March 1, 2016, Mandau Services issued a 3% long-term notes payable for $15,000 It is payable over a 3-year term in $5,000 principal installments on March 1 of each year, beginning March 1, 2017. Each yearly installment will include both principal repayment of $5,000 and interest payment for the preceding one-year period. What is the amount of total cash payment that Mandau will make on March 1, 2017?
A) $5,000 B) $5,450 C) $15,000 D) $5,225
Financing a portion of a firm's assets with securities bearing a fixed rate of return in hopes of
increasing the return to stockholders refers to A) financial leverage. B) combined leverage. C) operating leverage. D) business risk.