Which of the Following Statements Is True

question 54

Multiple Choice

Which of the following statements is true?

• A) The market demand curve for labor is found by adding the supply curves for labor of individual firms.
• B) A firm's demand for labor is the upward-sloping portion of the MRP curve for labor.
• C) The market demand for labor will change as a result of a change in the use of a complementary factor or a substitute factor.
• D) The market demand curve for labor is vertical at the profit-maximizing wage.

---

Definitions:

Financial Performance

An analysis of a company's ability to generate income from its operations over a certain period of time.

Cash Requirements

The amount of cash a company needs to meet its immediate and short-term obligations or to complete a transaction.

Strategic Planning

Strategic Planning refers to the process organizations use to define their strategy, direction, and make decisions on allocating resources to pursue this strategy, including capital and people.

Short-Term Forecasts

Financial predictions that cover a short time period, typically less than a year, used for budgeting, planning, and managing immediate cash flows.