Suppose That a Person Can Borrow and Lend at an Interest

question 5

Multiple Choice

Suppose that a person can borrow and lend at an interest rate of 10%. But there is a 5% rate of inflation and the person has to pay an income tax of 30% on all interest income. If the person borrows money, he can deduct interest as an expense. Where current consumption is on the horizontal axis and future consumption is on the vertical axis, the budget line will

• A) have a kink at the point of no saving or lending.
• B) be a straight line with a slope of about -1.02.
• C) be a straight line with a slope of about -1.05.
• D) be a straight line with a slope of about -1.35.
• E) None of the above.

Comprehend the mechanisms involved in post-transcriptional regulation in prokaryotes and eukaryotes.

Understand various methods of posttranslational regulation mechanisms.

Recognize the role of mutations in regulatory elements and their effect on transcription rates.

Explain the concept and importance of genomic imprinting in gene expression.

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Definitions:

Marginal Cost (MC)

The growth in overall expenses incurred from the manufacture of an extra unit of a product or service.

Additional Factory

A supplementary manufacturing facility established by a company to increase production capacity.

Producing Units

Entities within an organization responsible for the creation of products or services.

Corn

A cereal plant that yields large kernels set in rows on a cob; an important crop for food, animal feed, and industrial products.