If the Computer Industry Exhibits External Economies of Scale, Then

question 107

Multiple Choice

If the computer industry exhibits external economies of scale, then its expansion is likely to result in

• A)more firms outside the computer industry.
• B)fewer firms outside the computer industry.
• C)more firms within the computer industry.
• D)fewer but bigger firms within the computer industry.
• E)no impact on industries other than computer manufacturing.

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Definitions:

UCC Obligation

A term referring to responsibilities or duties that are established under the Uniform Commercial Code, a comprehensive set of laws governing commercial transactions in the United States.

Third-party Financing

Refers to funding provided by an entity that is neither the borrower nor the direct provider of goods or services, often used in sales agreements to facilitate purchases.

Perfect Tender Rule

A principle in contract law requiring goods delivered under a sales contract to exactly meet the terms of the agreement.

Contract Specifications

Detailed, precise descriptions of the terms, conditions, and obligations agreed upon by parties in a contract, often defining the scope, quality, and timelines of work or services.