
The table shows the quantity of gold bars (Qb) in thousands, the extraction cost for each thousand bars (in millions of dollars) , and the user cost of each thousand bars (in millions of dollars) facing the OZ Mining Company this year.Suppose that a new government regulation is going to shut down OZ's mining operation one year from now.Assuming that all gold extracted is sold in the same year (cannot be stockpiled for later sale) , how will the regulation affect
The user cost?
A) It will have no effect on the user cost.
B) The effect on the user cost cannot be determined.
C) The user cost will rise because the rate of extraction will rise.
D) The user cost will become zero because they will not be able to extract in the future.
Correct Answer:
Verified
Q43: According to the concept of present value,
Q44: Other things equal, ethanol made from corn
Q45: Productive inputs capable of replacing themselves if
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents