The cost of capital is generally suggested __ for __ based on the contents learnt in International Finance.

higher; MNCs

higher; domestic firms

lower; domestic firms

None of these are correct.

If the price is 500, the demand is 35, and the unit cost of a computer per day is 55, the profit is...

Why does everyone lose to cost-push inflation?

Why would equity cost more than debt?

A company is in the process of constructing a new plant at a cost of $16 million. It expects the project to generate cash flows of $9 million, $6 million, and $11 million over the next three years. The cost of capital is 18.9 percent p.a. What is the net present value of this project? (in millions to three decimals)

Question 22

1. For a worker, the opportunity cost of an hour of leisure

   	a.	is the same for a celebrity talk-show host as it is for a teacher.
   	b.	is determined by factors that are unrelated to his hourly wage.
   	c.	falls by $8 when his wage rises by $8 per hour.
   	d.	rises by $8 when his wage rises by $8 per hour.

Question 23

1. An increase in the demand for houses

   	a.	increases the equilibrium wage of carpenters and decreases the value of carpenters’ marginal product of labor.
   	b.	increases the equilibrium wage of carpenters and increases the value of carpenters’ marginal product of labor.
   	c.	decreases the equilibrium wage of carpenters and increases the value of carpenters’ marginal product of labor.
   	d.	decreases the equilibrium wage of carpenters and decreases the value of carpenters’ marginal product of labor.

Question 24

1. An increase in the value of the marginal product of labor has the effect of increasing the

   	a.	demand for labor.
   	b.	wage.
   	c.	quantity of labor employed.
   	d.	All of the above are correct.

Insurance companies will not pay for the full cost of a claim in the event that you do not have your property insured for at least 80% of its value due to which of the following?