Which of the Following Exemplifies the Best Use of Utility

question 57

Multiple Choice

Which of the following exemplifies the best use of utility for a selection procedure?

• A) Tina's Treats, a suburban diner, spends a lot of time and money recruiting a server.
• B) A local gas station has a recruitment procedure that spans four months for the position of a cashier.
• C) Fritter Corp., an international investment firm, spends close to a million dollars to hire a renowned economist as its new CEO.
• D) Car Care, a local car wash, employs a three-month-long selection procedure for hiring one of its operators.
• E) Buffington High School conducts several rounds of interviews to recruit a maintenance worker.

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Definitions:

TC Curve

A graphical representation showing the total cost of producing different quantities of a good or service.

TVC Curve

A graphical representation showing the relationship between a firm's total variable costs and its output level.

TFC

stands for Total Fixed Costs, which are the costs that do not vary with the level of production or sales, such as rent or salaries.

Average Fixed Cost

The fixed costs of production divided by the quantity of output produced, showing the cost of each unit's share of the fixed expenses.