A cost that involves spending money is
A) an implicit cost.
B) an explicit cost.
C) an opportunity cost.
D) an indirect cost.
Answer: B
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Why do cartels often break down?
What will be an ideal response?
Suppose the velocity of money is 8, the amount of money in circulation is $200 billion, the index of prices is 150, and real GDP is $10 billion. According to the strict quantity theory of money, if the money supply doubled to $400 billion,
a. the velocity of money would fall to 4. b. the index of prices would increase to 300. c. real GDP would increase to $20 billion. d. the velocity of money would rise to 16.
Which type of audit determines if specific rules and regulations set by higher authorities are being met?
a. financial statement audit b. salary audit c. operational audit d. compliance audit e. integrated audit
Which of the following is most accurate?
A. In all cases, competitive markets yield more consumer surplus than would be enjoyed in a monopoly market with the same cost structure. B. In all cases, competitive markets yield less consumer surplus than would be enjoyed in a monopoly market with the same cost structure. C. In some cases, competitive markets can yield less consumer surplus than would be enjoyed in a monopoly market with the same cost structure. D. In all cases, competitive markets yield the same consumer surplus that would be enjoyed in a monopoly market with the same cost structure.