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The Potbelly Pothole Company Is Undertaking Some Investments in Its

Question 58

Multiple Choice

The Potbelly Pothole Company is undertaking some investments in its plant. Suppose interest rates fall and new technologies increase the return on its investment. What is likely to happen?


A) The company's demand for investments will fall.
B) There will be no change in the company's demand for investments.
C) The company's demand for investments will first fall as interest rates fall and then rise as technology improves.
D) The company's demand for investments will rise.

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