A perfectly competitive firm maximizes profit when:
a. its marginal revenue is equal to its marginal cost.
b. its marginal revenue is greater than its marginal cost.
c. its marginal cost is negative.
d. its marginal cost is greater than its marginal revenue.
e. its marginal cost is minimum.
a
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If the current cash price is $8.80/bushel, storage costs are $0.15/bushel, August futures are currently trading at$9.20/bushel, and you expect the basis in July to be $0.20/bushel under August, then your expected profits from storing until July would be:
A. $0.05/bushel B. $-0.35/bushel C. $0.35/bushel D. $-0.05/bushel
The Economic Recovery Act of 2008 included a temporary increase in the federal deposit insurance ceiling from $100,000 to $250,000. The likely objective was to ________
A) boost bank profitability B) increase the money supply C) discourage withdrawals from banks D) bail out the Federal Deposit Insurance Corporation (FDIC)