This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: You borrow $20,000 at an interest rate of 6% to open Candy Dan's, a gourmet sweet shop. You will ... (Read 38 times)

D2AR0N

  • Hero Member
  • *****
  • Posts: 561
on: Apr 19, 2019

Question 1

Assume that the current interest rate is 7%. You invest $10,000 of your own money in a restaurant that you own and operate. The normal return on this investment is


◦ $0, as you used your own money.
◦ $700, as that is the interest forgone by not lending the money to someone else at a 7% interest rate.
◦ $10,000, as that is the amount invested in the restaurant.
◦ $10,700, the amount invested plus the interest charge on the investment.

Question 2

You borrow $20,000 at an interest rate of 6% to open Candy Dan's, a gourmet sweet shop. You will earn an economic profit if the return on your investment is


◦ between 0 and 6%.
◦ 6%.
◦ greater than 6%.
◦ 10% or greater.
Principles of Economics ¦ Case, Fair, Oster ¦ 12th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by D2AR0N on Apr 19, 2019

choc0chan

  • Sr. Member
  • ****
  • Posts: 362
Reply #1 on: Apr 19, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 55% of students answer this correctly


D2AR0N

  • Hero Member
  • *****
  • Posts: 561
Reply #2 on: Apr 19, 2019
TY


choc0chan

  • Sr. Member
  • ****
  • Posts: 362
Reply #3 on: Apr 19, 2019
You're welcome


« previous next »
 

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates's recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

Everyone has one nostril that is larger than the other.

Did you know?

About 100 new prescription or over-the-counter drugs come into the U.S. market every year.

Did you know?

In 2006, a generic antinausea drug named ondansetron was approved. It is used to stop nausea and vomiting associated with surgery, chemotherapy, and radiation therapy.

Did you know?

Only 12 hours after an egg cell is fertilized by a sperm cell, the egg cell starts to divide. As it continues to divide, it moves along the fallopian tube toward the uterus at about 1 inch per day.

Cheetah at the Werribee Open Range Zoo Cheetah at the Werribee Open Range Zoo
The Rate Law The Rate Law
The mortality rate in the United States increases with age and is lower for women than men at every ... The mortality rate in the United States increases with age and is lower for women than men at every ...
A series of two PET scans. A scan was done when the volunteer’s eyes were either open (left) or ... A series of two PET scans. A scan was done when the volunteer’s eyes were either open (left) or ...
Population growth and growth rate, 1950 - 2100 Population growth and growth rate, 1950 - 2100
Sweet Crêpes Sweet Crêpes
Video: Types of energy transfer reactions: oxidation-reduction reactions and ATP generation reactions

For a complete list of videos, visit our video library