1. Could Arbitrage opportunity limit the profit making to investors/banks?
2. Samuelson will produce 20,000 units in January using level production. If each unit costs $500 to manufacture, what is the dollar value of ending inventory in January if beginning inventory is 10,000 units and January sales are 15,000?
3. If the nominal interest rate is 5% and the inflation rate is 3%, then what is the real interest rate? (Do not round intermediate calculations. Round your answer to 2 decimal places.)