Refer to the diagrams. Curve A:
A. is an investment schedule and curve B is a consumption of fixed capital schedule.
B. is an investment demand curve and curve B is an investment schedule.
C. and curve B are totally unrelated.
D. shifts to the left when curve B shifts upward.
B. is an investment demand curve and curve B is an investment schedule.
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Crises that occasionally hit financial markets will increase the demand for money since:
A. the risk of holding money relative to other financial assets decreases. B. the return on financial assets increases. C. the return on money increases. D. there is no risk with holding money.
Tom deposits funds in his savings account at the bank which is paying 3.5% interest. If he keeps his funds in the bank for one year he will have $155.25. What amount is Tom depositing?
A. $151.75 B. $147.50 C. $148.75 D. $150.00