Author Question: Which of the following distinguishes a straight-line production possibilities curve from one that is ... (Read 133 times)

lidoalex · **on:** Jun 30, 2018

Which of the following distinguishes a straight-line production possibilities curve from one that is bowed out?
a. A straight-line production possibilities curve exhibits increasing opportunity costs, whereas a bowed production possibilities curve does not.
b. A straight-line production possibilities curve exhibits decreasing opportunity costs, whereas a bowed production possibilities curve does not.
c. A straight-line production possibilities curve exhibits constant opportunity costs, whereas a bowed production possibilities curve does not.
d. A straight-line production possibilities curve is upward sloping, whereas a bowed production possibilities curve is not.

Question 2

What is the present value of 5,000 to be received in one year if the current market interest rate is 6.0?
a. 3,125
b. 4,717
c. 4,923
d. 5,300