What is the difference between fixed and variable costs? Give examples of each type of cost.
What will be an ideal response?
FIXED COSTS are those expenses of the firm that are stable and do not change with the level of output. Examples include rent and executive salaries.
VARIABLE COSTS are those expenses of the firm that vary directly with the level of output. Examples of variable costs associated with output include cost of materials, direct labor, and packaging.
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Which of the following is not a common characteristic of preferred stock?
a. Voting rights b. Preference as to dividends c. Preference in liquidation d. Callability by the corporation e. None of the answers are correct.
Fast-food workers coming together to share their grievances about low pay, teachers sharing classroom tips with each other, and students rating their professors, are all examples of an ______ communication network.
A. informal B. unsubstantiated C. unofficial D. unapproved
The National Egg Association has been promoting the benefits of eggs for many years. It aims to educate customers about the nutritional values of eggs through ads which are aired in several states. It is making use ofÂ
A. selective-demand advertising. B. professional advertising. C. primary-demand advertising. D. direct-response advertising. E. trade advertising.
____________________ insurance covers the risk of a financial loss due to an injury to some outside party (such as a neighbor).
Fill in the blank(s) with the appropriate word(s).