Interest Is Considered A(n)

question 15

Multiple Choice

Interest is considered a(n)

• A) explicit cost when the firm pays a bank to borrow money.
• B) implicit cost when the firm owner uses his or her own funds to buy capital.
• C) return to entrepreneurship if the firm owner uses her own funds to buy capital.
• D) form of depreciation if the cost of borrowing increases.
• E) Both answers A and B are true.

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Definitions:

Variables

Elements, features, or factors that can change and affect the outcomes of scientific experiments or studies.

Units Of A Story

Basic elements that constitute a narrative, including setting, characters, plot, conflict, and resolution.

Recall

The retrieval of information in which the processor must generate most of the information without aids. See also recognition.

Grice's Maxim

A set of conversational principles proposed by philosopher H.P. Grice that include quantity, quality, relation, and manner, aiming to make communication effective and cooperative.