In a Competitive Market,the Market Demand Curve Measures the ________

question 42

Multiple Choice

In a competitive market,the market demand curve measures the ________ if ________ exist. In a competitive market,the market supply curve measures the ________ if ________ exist.

• A)marginal social benefit;no external costs;marginal social cost;no external benefits
• B)firms' marginal benefit;external benefits;consumers' marginal cost;external costs
• C)marginal social benefit;no external benefits;marginal social cost;no external costs
• D)marginal social benefit;external benefits;marginal social cost;external costs
• E)consumer surplus;external benefits;producer surplus;external costs

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Definitions:

Weighted Average Method

An inventory valuation method that calculates the cost of goods sold and ending inventory balance using a weighted average of the costs of all items available for sale during the period.

FIFO Costing

An inventory valuation method that assumes that the first items placed in inventory are the first ones sold, standing for First In, First Out.

Unit Costs

The cost incurred by a company to produce, store, and sell one unit of a particular product or service.

Direct Materials

Raw materials that can be directly traced to the production process of a good or service, constituting a significant part of the total cost of production.