A publisher is deciding whether or not to invest in a new printer. The printer would cost $900, and would increase the cash flows in year 1 by $500 and in year 3 by $800 . Cash flows do not change in year 2 . If the interest rate is 12%, what is the present value of the cash flows from the investment?

If freezing weather destroys half of the current Florida orange crop, wealth will increase for

A) almost all Florida orange growers. B) no Florida orange growers. C) some Florida orange growers and all California orange growers. D) some Florida orange growers and some California orange growers.

Which of the following would likely cause an increase in the supply of single-serve coffee makers?

A) a decrease in the number of consumers demanding single-serve coffee makers B) an increase in the price of single-serve coffee makers C) a decrease in the cost of manufacturing single-serve coffee makers D) a widespread expectation that the price of single-serve coffee makers will rise in the future