--%>

Interest rate of annual income

When perpetuity pays annual income of $50, in that case at an interest rate of 4 percent its price is: (w) $1000. (x) $1250. (y) $1400. (z) $1800.

Hello guys I want your advice. Please recommend some views for above Economics problems.

   Related Questions in Microeconomics

  • Q : A legal price floor and revenues Assume

    Assume that the U.S. wheat market is firstly into equilibrium on S0D0. Now assume the government institutes a legal price floor at P3 per bushel of wheat. When the government does nothing else, one outcome will be such

  • Q : Evidence of Diminishing Marginal Utility

    Can someone help me in finding out the right answer from the given options. The law of diminishing marginal utility might be evidenced by the person: (i) Smoking more however enjoying each and every extra cigarette less. (ii) Buying a latest car after

  • Q : Profit Maximization in Labor Markets

    Each and every profit maximizing organizations employ labor up to the point where: (1) VMP = w. (2) MRP = MFC. (3) VMP = MRP. (4) VMP = MFC. (5) MR MC is maximized. Can someone please help me in finding out the accurate answer from

  • Q : Define Indirect taxes Indirect taxes :

    Indirect taxes: Whenever the liability to pay tax is on one person and the burden of that tax falls on another person, it is termed as indirect tax. Illustrations are: sales tax, excise duty, VAT, tax on services and so on.

  • Q : Question on demand and supply Refer to

    Refer to the following diagram. A decrease in supply is illustrated by a: A) move from point x to point y. B) shift from S1 to S2. C) shift from S2 to S1. D) move from point y to point x.

    Q : Problem on Substitute Goods Can someone

    Can someone help me in finding out the right answer from the given options. The substitute goods are: (i) Usually consumed altogether. (ii) Inferior to luxury goods. (iii) Generally free goods. (iv) Replacements for each other.

    Q : Effect of future consumption on

    When households become increasingly willing to defer current consumption in order that they can enjoy greater future consumption, in that case the: (1) interest rate rises. (2) equilibrium investment level rises. (3) present value of

  • Q : Labor Unions-Sitdown Strikes Whenever

    Whenever unions and managers have failed to arrive at a collective bargaining agreement and workers reject to leave the production facility owned by firm, the union’s strategy is termed as: (i) Boycott or an embargo. (ii) Management lock-out. (i

  • Q : Problem on monoplists Suppose that the

    Suppose that the total cost curve for a monopolist is provided by TC = 3y2 + 800 and its marginal cost curve is given as MC = 6y.  Also assume it faces a market demand curve of py = 280 - 4y and marginal revenue curve of MR = 280 – 8y.

  • Q : Problem regarding Bilateral Monopoly

    The bilateral monopoly model is most likely most applicable in analyzing a case where a: (1) Major employer collectively bargains with the influential union. (2) Firm consists of monopoly power in output market and monopsony power in the labor market. (3) Labor market