Word Bank: profit, capital, risk, time, investment, today, equilibrium, loanable, future, interest

Question 5 0.5 pts The rate of return on is the marginal product of capital expressed as an annual percentage rate. [Cheese] v Question 6 0.5 pts In a state of , the rate of interest on loanable funds will be the same as the rate of return on capital. [Cheese] v Question 7 0.5 pts The present value of marginal revenue product is the value of a sum payable in the future. [Cheese] v Question 3 0.5 pts Comparing the cost of capital, which must be borne now, with the return on capital that will be received in the . i5 discounting. Question 9 The concept of discounting is essential to anyr economic decision involving [ Choose ] v Question 10 If the present value of capital exceeds the marginal resource cost of that capital today, the rm will increase by employing that capital. Question 1 0.5 pts In microeconomics, aln} is a rm's addition to capital that will enhance production. [Choose] v Question 2 0.5 pts The funds market is general term for a set of institutions that facilitate borrowing and lending. [Choose] v Question 3 0.5 pts While rms mayr obtained funds through the purchase, solicitation, or formation of capital; in all cases the cost of the capital is [ Choose ] v Question 4 0.5 pts The cost of capital is somehow comprised of three variables: the alternative use, ination, and premiums. [ Choose ] v