You Borrow $20,000 at an Interest Rate of 6% to Open

question 72

Multiple Choice

You borrow $20,000 at an interest rate of 6% to open Candy Dan's, a gourmet sweet shop. You will earn an economic profit if the return on your investment is

• A) between 0 and 6%.
• B) 6%.
• C) greater than 6%.
• D) 10% or greater.

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Definitions:

Agricultural Act

Legislation related to agricultural activities, policies, and subsidies.

Direct Payments

Cash payments provided by governments to farmers or businesses, often to support incomes, encourage investment, or protect against price fluctuations.

Countercyclical Payments

Payments made by the government to individuals or businesses during economic downturns to stabilize the economy by increasing purchasing power.

Agricultural Exports

Goods that are produced through farming and agriculture that are sold to other countries.