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Author Question: When making the decision to invest, the evaluation of the expected flow of future productive ... (Read 67 times)

frankwu

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Question 1

You borrow $40,000 at an interest rate of 5% to open Organic Foods, an all-natural food store. You will earn an economic profit if the return on your investment is


◦ greater than 5%.
◦ 5%.
◦ between 0 and 5%.
◦ 10% or greater.

Question 2

When making the decision to invest, the evaluation of the expected flow of future productive services that the investment project being considered will yield is an important consideration. This statement is accurate for


◦ firms, but not for governments and households considering an investment project.
◦ firms and governments, but not for households considering an investment project.
◦ firms and households, but not for governments considering an investment project.
◦ firms, households, and governments.


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Marked as best answer by frankwu on Apr 19, 2019

qytan

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