Suppose that a new machine tool having a useful life of only one year costs $80,000. Suppose, also, that the net profit resulting from buying this tool is expected to be $96,000. if the firm finds it can borrow at an interest rate of 15 percent the firm should:

A. 80 percent.
B. 8 percent.
C. 2 percent.
D.20 percent.

Abenefit of using a debit or credit card instead of cash is that it provides a paper record of a purchase. looking at the purchases below, which one should be made using a credit or a debit card?

Show the changes to the t-accounts for the federal reserve and for commercial banks when the federal reserve buys $50 million in u. s. treasury bills. if the public holds a fixed amount of currency (so that all loans create an equal amount of deposits in the banking system), the minimum reserve ratio is 10%, and banks hold no excess reserves, by how much will deposits in the commercial banks change? by how much will the money supply change? show the final changes to the t-account for commercial banks when the money supply changes by this amount.

Taking commercial paper means the holder acts honestly