A convertible bond:

A) Is a combination of a loan and a put option.
B) Normally has a perpetual conversion feature.
C) Has a value which is equal to its straight bond value plus it conversion value.
D) Has a minimum value which is equal to the greater of the two floor values.
E) Is worth an amount equal to the greater of the straight bond value or the conversion value plus the option to abandon value.

If Cinage Cutlery lowers its price per item to anyone who buys a minimum of 100 knives because it costs Cinage less to sell that quantity, it is not a violation of the Robinson-Patman Act.

Payton gets a job as a salesman for a pharmaceutical company. He agrees that if he leaves his employment, he will not work for another pharmaceutical company for a period of two years. That type of agreement is called a[n] ________.

A) Covenant not to compete
B) Necessary covenant
C) Employment completion agreement
D) Covenant of good faith agreement
E) Covenant of favored employment

Business interruption insurance covers the policy-holder when an unforeseen event causes a business to permanently cease operation.

When a consumer gives little thought or time to the purchase of a product she is in the habit of buying, she is making a(n) ________ buying decision.

A) routine
B) limited
C) extensive
D) high-involvement
E) preconscious

A firm has the long-run cost function C(q)  7q2  175.In the long run, it will supply a positive amount of output, so long as the price is greater than

A) $70.
B) $148.
C) $35.
D) $140.
E) $75.