The Value of an Economic Variable Over Time Satisfies the Relation

question 2

Multiple Choice

The value of an economic variable over time satisfies the relation
$R ( t ) = \frac { 6 } { 1 + t ^ { 2 } } + 3 e ^ { - 0.4 t }$ , Find the equilibrium value of $R$ .

• A) it does not exist
• B) 3
• C) 0
• D) 9
• E) 6

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Definitions:

Long-term Debt

Financial obligations of a company or individual that are due after a period of one year or more.

Trade Credit

Debt arising from credit sales and recorded as an account receivable by the seller and as an account payable by the buyer.

Discounts

A reduction from the usual cost of something, often applied to prompt payment or to certain categories of customers.

Increase

A rise in value, quantity, or some other measure.