In Network Economics,the Value of a Commercial Software Vendor's Software

question 69

Multiple Choice

In network economics,the value of a commercial software vendor's software products:

• A)increases as more people use them.
• B)decreases as more people use them.
• C)increases due to higher marginal gain in output.
• D)decreases according to the law of diminishing returns.
• E)is unrelated to the number of people that use them.

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Definitions:

Supplemental Wage Payments

Additional wages paid to an employee, varying from regular salary, such as bonuses, commission, overtime pay, and severance pay, which may be taxed differently.

Accountable Plan

This is an IRS-recognized plan that allows businesses to reimburse employees for work-related expenses tax-free, provided certain conditions are met, such as business connection and adequate accounting.

Taxable Fringe Benefits

Benefits provided by an employer to an employee, which are considered taxable income for the employee, such as personal use of a company car.

FUTA Tax

Federal Unemployment Tax Act tax, a payroll tax paid by employers to fund state workforce agencies and unemployment insurance for workers who have lost their jobs.