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Which Environment Is Very Broad and Includes Factors That Affect

question 7

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Which environment is very broad and includes factors that affect all businesses in society?


Definitions:

Price Charged

The amount of money a buyer has to pay to acquire a product or service from a seller.

Marginal Revenue

The revenue that a company gains by selling an additional unit of a product, indicating the income effect of increasing output by one unit.

Marginal Cost

The additional financial burden of creating another unit of a product or service.

Price Elasticity

The extent to which consumer demand for a good changes in response to a change in the good's price, represented by the ratio of percentage change in demand to percentage change in price.

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