The Inverse Demand Function for Soybeans Is P = 68,000

question 66

Multiple Choice

The inverse demand function for soybeans is p = 68,000 - 5q.Total revenue in this market will be maximized when the quantity of soybeans produced is

• A)3,400 bushels.
• B)7,911 bushels.
• C)6,800 bushels.
• D)13,600 bushels.
• E)none of the above.

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Definitions:

Quarterly Compounded

Refers to the process of calculating and adding interest to the principal amount of an investment or loan on a quarterly basis.

Nominal Rate

The stated or advertised interest rate on a loan or investment, not accounting for any compounding of interest within that period.

Quarterly Compounded

Quarterly compounded means that interest is calculated and added to the principal sum every quarter (three months), leading to growth in the investment or loan amount.

GIC

A financial product in Canada known as a Guaranteed Investment Certificate that promises a specific return rate for a predetermined time frame.