If you are faced with the choice of receiving $500 today or $800 6 years from today, you will be indifferent between the two possibilities if the interest rate is 8.148 percent

Any combination of goods beyond the budget line is not feasible

a. True b. False Indicate whether the statement is true or false

In most business situations where firms compete, often they can escape the prisoner's dilemma and reach the most profitable outcome. Which of the following is a reason for this?

A) Firms engage in aggressive advertising to overcome the barriers to loyalty. B) Most games are one-shot games so firms learn from their mistakes. C) Most games are repeated games and firms can employ retaliation strategies against those who do not cooperate. D) Firms are constantly improving their products and anticipating changing consumer tastes.