Which of these cannot describe negotiable instrument?
A. Debt settlement
B. Means of payment
C. Near cash instrument
D. Non-transferrable
Answer: D
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What indices would you consider when calculating the profitability index of different investment proposals?
A. Net present value and total investment value
B. Net present value and initial investment
C. Initial nvestment and final investment
D. Total present value of all cash flows and net present value
Answer: B
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Which is excluded in the concept of Marginal Efficiency of Capital (MEC).
A. Expected rate of return
B. Rate of capital consumption
C. Market rate of interest
D. Cost of capital asset
Answer: B
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What do you understand by this statement? ??When income or consumption increases, investment will increase by a multiple amount.
A. Income and investment move in opposite direction
B. Consumption and income move in the same direction
C. Income and investment move in the same direction
D. Investment and consumption move in the same direction
Answer: C
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How would you describe the graph of autonomous consumption?
A. It is parallel to the x-axis
B. It slopes downwards from left to the right
C. It is paallel to the y-axis
D. It changes as income change
Answer: A
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If a household's gross income is N190 at a pay as you earn tax of 10% and its savings is N75, what is its consumption for that period?
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What is disposable income?
A. The amount of money that the household does not need
B. The amount of money that households have available for spending and saving after income taxes have been accounted for
C. The amount of money that the household is expected to earn in a particular period
D. That portion of income that the household can give out as charity
Answer: B
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In the long run, at equilibrium investment must.......savings
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Who propounded the theory of the Motives for Holding money?
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"In order to trade in barter an individual had to find someone who has what he need and needs what he has." What is another way to state this?
A. Double coincidence of want
B. Friendhip trading
C. Coincidental want
D. Matching of needs
Answer: A
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