Paul’s friend Gabby had an idea of creating a photography service that went to school functions, such as football games, pep rallies and dances, to take candid pictures. The pictures would be available to purchase the following week. She needed $300 to buy additional equipment and start an advertising campaign, so she asked Paul for a loan. She promised to pay him back the $300 and give him 25 percent of her profits from the first semester. Gabby sold a few pictures the first week of school but quit going to events to take pictures. She can’t repay the loan and there are no profits. Paul lost $300. How would you describe the financial risk Paul faces?

Which of the following is an example of search costs? a.) driving to a faraway place to find available goods b.) buying goods in some special way that is outside the normal channels c.) paying a premium cost for goods d.) selling extra goods for a discount price

Employees at a library check out books to patrons. books have an isbn and a name. the library sometimes has multiple copies of the same book. books have one or more authors. a patron is an individual who has an active (non-expired) library card. for each library card, we store the person's first and last names and their address. for each employee, we store their employee id, current salary, first and last name and their address. we also store the employee id of their current manager. each time we check out a book to a patron we need to store the date of the transaction, the employee who checked out the book to the patron, and the library card of the patron. some employees have library cards. if an employee patron turns in a book late, the fine that they pay is a percentage of their salary. some employees are authors who have library cards—they are allowed to check out as many books as they like.

In microeconomics, the point at which supply and demand meet is called the blank price