Sloan inc. recently invested in a project with a 3-year life span. the net present value was $9,000 and annual cash inflows were $21,000 for year 1; $24,000 for year 2; and $27,000 for year 3. the initial investment for the project, assuming a 15% required rate of return, was present value pv of an annuity year of 1 at 15% of 1 at 15% 1 .870 .870 2 .756 1.626 3 .658 2.283

Assume that the following conditions exist: a. all banks are fully loaned up- there are no excess reserves, and desired excess reserves are always zero. b. the money multiplier is 5 .     c. the planned investment schedule is such that at a 4 percent rate of interest, investment =$1450 billion. at 5 percent, investment is $1420 billion. d. the investment multiplier is 3 . e.. the initial equilibrium level of real gdp is $12 trillion. f. the equilibrium rate of interest is 4 percent now the fed engages in contractionary monetary policy. it sells $1 billion worth of bonds, which reduces the money supply, which in turn raises the market rate of interest by 1 percentage point. calculate the decrease in money supply after fed's sale of bonds: $nothing billion.

Suppose that a monopolistically competitive restaurant is currently serving 260 meals per day (the output where mr

Which of the following is not an example of one of the four mail advantages of prices on a free market economy