A Surplus Currently Exists in the Market for Whatzits

question 173

True/False

A surplus currently exists in the market for Whatzits.In a free market system,the government must step in and buy any Whatzits that consumers do not buy in order to eliminate the surplus and establish equilibrium.

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Definitions:

Units Per Month

The quantity of products or services that a company produces or sells in a month.

Projected Sales Units

An estimate of the quantity of products that a company plans to sell over a certain period of time.

Annual Sales

The total revenue generated from goods or services sold by a company in a fiscal year.

Inventory Units

Items of stock or goods held by a company in the course of its business operation, counted as individual units.