When you choose rocky road, the opportunity cost is the enjoyment of the strawberry. Pizza is a normal good if a. Which of the following statements about opportunity costs is incorrect? Economists use the principle of comparative advantage to emphasize the potential benefits of free trade. Investment in industry rose to 25% by the late 1920s, meaning that effectively one-fourth of the resources of the Soviet Union were being diverted into building an industrial foundation. Except to the extent that you pay more for them, opportunity costs should not include the cost of things you would have purchased anyway.
Which of the following is a correct statement about production possibilities frontiers? Economists understand this is progress because the proportion of the population that used to be farmers is now employed in other professions. Industrial goods grew by 113% and electric power production by 227%. Choose one of the items from the list. Answers b and c are correct. Then we can conclude that Beef Wine Chile 4 12 Argentina 2 5 a Chile has a comparative advantage in beef production. Opportunity's such as an increase in certain facilities such as an athletic track or football pitch in an area or an increase in the number of jobs.
The principle of comparative advantage does not provide answers to certain questions. What would happen in the market for the good? The costs of the credit application process and the costs expended in the collection process are carrying costs of granting credit. The explicit opportunity cost of the not already owned by a producer is the price that the producer has to pay for them. Flashcards vary depending on the topic, questions and age group. During the early to mid-1920s, Soviet leaders engaged in a great deal of internal debate about the relative importance of peasant owned and controlled agriculture on the one hand and state-run industry on the other. Production possibility curves are concave bowed outward because a opportunity costs are always positive.
None of the above statements is correct. Which of the following statements about project life in capital budgeting analyses is most correct? Curious about what drove responses to the economist cartoon, I began asking about the disappointed looks that appeared on people's faces when they first discovered I was an economist. Assume also that each country is initially producing some of each good. This new branch could also be a failure and then there would also be an opportunity cost in what other thing that money could have been doing that would have been a success. Equilibrium quantity would decrease, but the impact on equilibrium price would be ambiguous. Which of the following statements about financial statement analysis is are most correct? Economists compute the price elasticity of demand as the a. These models prove daunting for many students and leave them little time and energy to focus on how basic economic principles help explain everyday behavior.
The state financed and promoted these extremely expensive technological programs and also organized and paid for the search for new natural resources necessary for the scientific endeavors. Which of thefollowing statements concerning the statement of cash flows is most correct? In contrast, Tom Cruise has acted in many serious action films. Points : 3 In general, at least five methods are used to estimate the cost of debt. It depends whether the current price level is on the elastic or inelastic portion of the demand curve. Economists are best viewed as policy advisers.
It assists in anticipating profits. It is important to remember that there is always the alternative of simply investing one's money in the bank, earning nominal interest say 5%. Do good days have high or low opportunity costs? Suppose goods A and B are substitutes for each other. Is it possible for specialization and trade to increase total output of traded goods? The correct answers are: It exists because resources are scarce- In American society, there is no such thing as unlimited resources. Due to filmography protectionism, Owen Wilson is unable to secure serious action roles, and Tom Cruise is unable to secure action comedy roles. Most small healthcare organizations use accrual accounting because it closely matches statements required for income tax purposes.
Which of thefollowing statements about income statement expenses is most correct? Which of the following statements concerning opportunity cost and the pattern of international trade is correct? Rational people should compare various options without considering opportunity costs. When quantity moves proportionately the same amount as price, demand is a. Economists face an obstacle that many other scientists do not face. Economists, like mathematicians, physicists, and biologists, a. If you miss work to go to a concert, your opportunity cost is the money you would have earned if you had gone to work plus the cost of the concert.
Points : 3 True False Question 38. To compute opportunity costs, you should subtract benefits from costs. All of the above are correct. After you have finished the quiz, click on the Grade my Quiz button at the bottom of the page. The trade-off theory tells us that businesses should use almost 100 percent debt financing. The opportunity cost of this decision is the lost wages for a year. Points : 3 True False Question 46.
If he decides to spend more time on his side business, the opportunity cost is the wages he lost from his regular job. Taylor of Georgia State University suggests that most professional economists may not really understand it. Bob Dylan is performing on the same night and is your next-best alternative activity. So that sufficient cash flows are included in the analysis, it is best to add two years to the actual expected life. Points : 3 Like the balance sheet, the statement of cash flows is as of a single point in time. To start a business of printing from the capital which he had in amount of 1.
Points : 3 True False Question 6. Productivity is defined as the a. Opportunity costs are the benefits you could have received by taking an alternative action. The optimal credit policy, is the policy that produces the largest amount of sales for a firm. In this regard the opportunity costs not involving cash flows are not recorded in the books of accounts, but they are important considerations in business decisions.