A firm is experiencing theft problems at its warehouse. A consultant to the firm believes that the dollar loss from theft each week (T) depends on the number of security guards (G) and on the unemployment rate in the county where the warehouse is located (U measured as a percent). In order to test this hypothesis, the consultant estimated the regression equation T = a + bG + cU and obtained the following results: 
Based on the above information, which of the following is correct at the 1% level of significance?
A. The estimates of the parameters a, b, and c are all statistically significant because the absolute values of their t-ratios exceed 2.797.
B. The critical value of t is 2.797.
C. The regression equation as a whole is statistically significant because the p-value of F is smaller than 0.01.
D. The estimates of the parameters a, b, and c are all statistically significant because the p- values for, a? , b? and c? are all less than 0.01.
E. all of the above
Answer: E
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A point on the supply curve can illustrate the
A) price and the corresponding quantity supplied. B) marginal cost of that unit of the good. C) price the consumer is willing to pay. D) Both answers A and B are correct. E) Both answers A and C are correct.
Sunshine's Organic Market sells organic produce. Assume that labor is the only input that varies for the firm. The store manager has determined that if she hires 12 workers, the store can sell 300 pounds of produce per day. If she hires 13 workers, the store can sell 370 pounds of produce per day. The store earns $4 for each pound of produce that it sells, and the manager pays each worker $80 per
day. Assuming no changes in either the daily wages paid to store workers or the price at which the store sells its produce, what is the minimum number of sales that would allow the firm to increase its profits by hiring a 14th worker? a. 374 pounds per day b. 380 pounds per day c. 390 pounds per day d. 450 pounds per day