Section 4 Study Questions (12.0 points) Answer each question fully. Complete sentences are not necessary. Lesson 1 (3.0 points) What is a liquidation policy? (0.5 points) being told how and when your able to move your money in or out. 1What is simple interest?
(0.5 points) An income is the consumption and savings opportunity gained by an entity within a specified timeframe, which is generally expressed in monetary terms. 4. What is a projection? (0.5 points) A projection is a guess or estimate about what something will be like in the future. 5.
Section 4 Study Questions (12.0 points) Answer each question fully. Complete sentences are not necessary. Lesson 1 (3.0 points) What is a money market account? (0.5 points) A money market is a common type of account offered by banks that is used just as a savings account it. In a money market account you invest your money in low risk investments with predictable interest rates.
Section 5 Study Questions (9.0 points) Answer each question fully. Complete sentences are not necessary. Lesson 1 (3.0 points) 1. What is credit? (0.5 points) An entry recording a sum received, listed on the right-hand side or column of an account.
(0.5 points) Advertising is when a company pays for messages that are meant to get consumers to notice and want its products. 4. What is a warranty? (0.5 points) A warranty is a specific promise about product performance that is written down in formal documentation and is usually limited to a specific time frame, so it can expire. 5.
Discuss surplus-enhancing transactions in markets 6. Explain how elasticity affects the way in which the burden of a per-unit tax is shared between buyers and sellers 7. Explain how elasticity affects the size of the deadweight loss created by a per-unit tax **NOTE: All of chapter 5 of Hubbard, Garnett, Lewis and O’Brien (2011) Microeconomics, 2nd edition, Pearson is required reading. 1. Consumer surplus The difference between the highest price a consumer is willing to pay for a good or service, and the price they actually pay.