Answer:
The correct answer is A
Explanation:
Habituation is the reduction in the response to a certain stimulus after the repeated or repetation in the presentations. In short, it is defined as the theory that allows the person or an individual to tune out an stimuli which is external in order to focus on other things which demand their attention.
In this case, the ads first appeared, so it attract the attention of Ted, but when there are multiple ads of the same, then the he is not paying so much attention because of the habituation.
Answer:
E. Answers c and d are correct.
Explanation:
C. Must exceed the cost of capital in order for the firm to accept the investment. Because in case of being lower than the cost of capital would be convenient to invest in something riskless.
D. Is similar to the yield to maturity on a bond. As the calculation of any rate of return is all about the expected cash flow.
If the central bank increases the amount of reserves banks are required to hold to 20%, then <u>both the money multiplier and </u><u>money supply</u><u> in the economy will decrease.</u>
<h3>
What is Money Supply?</h3>
- All the money and other liquid assets present in an economy on the measurement date are referred to as the money supply. The money supply roughly consists of deposits that can be utilized virtually as easily as cash in addition to actual currency.
- Governments issue coin and paper money through a mix of national treasuries and central banks.
- By dictating to banks what reserves they must maintain, how to offer credit, and other financial issues, bank regulators have an impact on the amount of money that is available to the general people.
- The amount of money circulating in an economy is referred to as the "money supply."
- Numerous money supply measurements also factor in non-cash assets like credit and loans.
- Increases in the money supply, according to monetarists, always result in inflation.
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