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hodyreva [135]
3 years ago
11

Consider two straight-line PPFs. They have the same vertical intercept, but curve I is flatter than curve II. The opportunity co

st of producing the good on the horizontal axis
(A) is greater along curve I.

(B) is greater along curve II.

(C) is the same along both curves.

(D) cannot be compared for the two curves without more information.
Business
1 answer:
Fynjy0 [20]3 years ago
3 0

Answer:

c) is the same along both curves.

Explanation:

Two straight-line PPFs have the same vertical intercept, but curve I is flatter than curve II. The opportunity cost of producing the good on the horizontal axis is the same along both curves.

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Answer:

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if the company changes its capital structure by increasing debt, the price of the stocks will be

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since the price of the stocks would actually decrease if the capital structure changes, the change should not be made. The stockholders' wealth is measured by the price of the stocks, and if the price of the stocks decreases, then the stockholders' wealth also decreases.

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