If All Changes in Inventories Were Intended

question 4

Multiple Choice

If all changes in inventories were intended,

• A)there would be no business cycle
• B)the business cycle would be less extreme
• C)the business cycle would be more extreme
• D)there would be no relation between the business cycle and inventory investment
• E)sales expectations would no longer influence inventory investment

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Definitions:

Binding

Having the effect of a legal obligation that must be adhered to; able to enforce a legal obligation.

Postbox Rule

A legal principle that specifies the exact moment a contract is considered accepted, which is when an acceptance is communicated, even if it has not yet been received by the offeror.

Click-Wrap

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Online Communications

Involves the exchange of messages, information, or documents through the internet or electronic devices.