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Alternative I require an initial investment of $20,000 and will yield a rate of 15% per year. Alternative C which requires a $30,000 investment will yield 20% per year. Which of the following statements is true about the rate of return on the $10,000 increment?
a- It is greater than 20% per year
b- I is exactly 20% per year
c- It is between 15% and 20% per year
d- It is less than 15% per year
q. if one draws mc curves pre and post innovation as well as the marginal revenue line for a monopoly and the mr in a
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