In Some Situations, a Small Business Owner Will Have to Influence

question 91

True/False

In some situations, a small business owner will have to influence need recognition; in others, he or she may simply be able to react to needs that consumers have identified on their own.

---

Definitions:

Fixed Costs

Expenses that do not change with the level of production or sales in the short term, such as rent, salaries, and equipment leases.

Variable Costs

Expenses that fluctuate in direct proportion to the volume of production or amount of output.

Fixed Costs

Expenses that do not change in total regardless of the level of production or sales activity, such as rent or salaries.

Variable Costs

Costs that vary directly with the level of production or sales volume.