One Hundred Basis Points in Terms of Dollars Is Equal

question 7

Multiple Choice

One hundred basis points in terms of dollars is equal to __________.

• A) $0.0001
• B) $0.01
• C) $0.10
• D) $1.00

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Definitions:

Cartel

An agreement among competing businesses to control prices or exclude entry of a new competitor in the market, aiming at maximizing their profits collectively.

Fixed Cost

Costs that do not vary with the level of output produced, such as rent, salaries, and some utilities.

Cartel

A group of manufacturers or suppliers formed to keep prices high and limit competition.

Marginal Cost Curve

A graphical representation that shows how the marginal cost of producing one more unit varies with the level of production.