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Consider the MR schedule for the firm given in Problem 1, and the MB schedule given for the household in Problem 3. If the interest

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Consider the MR schedule for the firm given in Problem 1, and the MB schedule given for the household in Problem 3. If the interest rate is now 30%, then in the market for funds there is an excess demand for funds an excess supply of funds an equilibrium Onone of the above A firm uses capital to produce revenue. The marginal revenue from the first 5 units of capital is as follows: 1st unit has MR 2.1, 2nd unit has MR 1.65, 3rd unit has MR 1.33. 4th unit has MR 1.18, and 5th unit has MR 1.09. If the interest rate is 12%, what is the optimal amount of capital for this form to borrow? 02 Consider the MR schedule for the firm given in Problem 1, and the MB schedule given for the household in Problem 3. If the interest rate is now 30%, then in the market for funds there is an excess demand for funds an excess supply of funds an equilibrium Onone of the above A firm uses capital to produce revenue. The marginal revenue from the first 5 units of capital is as follows: 1st unit has MR 2.1, 2nd unit has MR 1.65, 3rd unit has MR 1.33. 4th unit has MR 1.18, and 5th unit has MR 1.09. If the interest rate is 12%, what is the optimal amount of capital for this form to borrow? 02

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