When the Due Date of a Note Is Stated in Months

question 88

True/False

When the due date of a note is stated in months the time factor in computing interest is the number of months divided by 360 days.

Analyze how changes in prices or income affect consumer choices and budget constraints.

Apply the concept of the marginal rate of substitution (MRS) to analyze consumer behavior and choice optimization.

Identify and interpret perfect substitutes and perfect complements in the context of consumer preferences.

Understand the impact of changes in income on the consumption of normal and inferior goods.

---

Definitions:

Constant Opportunity Cost

A theoretical concept where the opportunity cost of producing a good remains constant as more of the good is produced.

Decrease In Unemployment

A reduction in the number of unemployed individuals in the workforce, often indicating economic growth.

Production Possibilities Frontier

A visual depiction illustrating the highest achievable production combinations of two products or services within an economy, assuming all resources are completely and effectively used.

Shift Outward

An economic term describing the expansion of a country's production possibility frontier, indicating increased capacity to produce goods and services.