John Likes to Eat Apples, Oranges, and Pears

question 33

Multiple Choice

John likes to eat apples, oranges, and pears. If John increases his consumption of oranges, ceteris paribus, marginal utility theory tell us that John's marginal utility of

• A)oranges decreases.
• B)apples decreases.
• C)pears decreases.
• D)oranges remains constant.
• E)oranges, apples, and pears all decrease.

Recognize the legal and financial consequences of directors’ decisions on dividends, loans, and corporate assets.

Grasp the role and legal obligations of promoters in the creation of a corporation.

Identify the duties a shareholder might owe to a corporation and the impact of their actions on corporate governance.

Distinguish between the sale of corporate assets and corporate shares.

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Definitions:

Government Securities

Government securities are financial instruments issued by a government to raise funds from investors, promising to pay back the borrowed amount with interest, including bonds, treasury bills, and notes.

Fed's Purchase

The buying of securities or assets by the Federal Reserve to inject money into the banking system and stimulate economic activity.

Political Pressure

The exertion of influence by individuals or groups to achieve certain actions or policies from government or other authority figures.

Board of Governors

The leading body of a central banking system, such as the Federal Reserve in the United States, responsible for overseeing the nation's monetary policy.