Which Is the Best Example of How an Institution Shapes

question 11

Multiple Choice

Which is the best example of how an institution shapes outcomes?

• A) The end of a concert brings calls for an encore.
• B) The thrust of an engine moves a car forward.
• C) The force of gravity forces a ball to fall.
• D) The rules of legislatures cause a bill to fail.
• E) The explosion of dynamite levels a hill.

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Definitions:

Operating Expense

Costs associated with the day-to-day functioning of a business, excluding production costs but including items like rent, utilities, and salaries.

Operating Profit

The profit earned from a firm's core business operations, excluding deductions of taxes and interest.

Mark-up

The amount added to the cost price of goods to cover overhead and profit; typically expressed as a percentage of the cost.

Unit Cost

Unit cost is the total expense incurred to produce, store, and sell one unit of a product or service, including both fixed and variable costs.