A Resource Is Something That

question 11

Multiple Choice

A resource is something that

• A)is used to produce goods and services
• B)is provided by nature, not made by society
• C)exists in unlimited quantities
• D)must be produced by a firm
• E)consumes goods and services

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Definitions:

Synergy

The increased effectiveness that results when two or more entities work together compared to working separately.

Lockup Agreement

The part of the underwriting contract that specifies how long insiders must wait after an IPO before they can sell stock.

Economies of Scale

Cost advantages that enterprises obtain due to size, output, or scale of operation, with cost per unit of output generally decreasing with increasing scale as fixed costs are spread out over more units of output.

White Knight

A corporation or individual that acquires a corporation on the verge of being taken over by forces deemed undesirable by the company's board or management.