1. Which one of the following best illustrates opportunity cost as it relates to restaurant?
A. Having to pay your manager a salary
B. Selling fewer burgers after introducing a philly cheesestake
C. Replacing the drive thru with an outdoor bar
D. Selling more tries because of the philly cheesestake
E. Paying a fine for health and saftey violations
2. A 20-year maturity bond with par value $1,000 makes semiannual coupon payments at a coupon rate of 8%. Find the annual yield to maturity if the bond price is:
a. $950
b. $1,000
c. $1,050