Which of the Following Is True

question 35

Multiple Choice

Which of the following is true?

• A) Contracts can be classified as either voluntary or involuntary.
• B) All contracts are legally enforceable.
• C) The terms of a valid contract become private law between the parties.
• D) Contract promises are generally not enforced by the courts.
• E) The terms of a valid contract become public law between the parties.

Grasp the determination of the firm's supply curve in both short-run and long-run.

Identify the conditions for a firm's shutdown point and break-even points.

Distinguish between average total cost, average variable cost, marginal cost, and their roles in firm operation.

Recognize how firms decide to stay in business or shut down based on comparisons of price with various costs.

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Definitions:

Flood

An overflow of a large amount of water beyond its normal limits, especially over what is normally dry land.

Insurance

A financial product designed to protect against the risk of financial losses, both big and small, that result from damage to the insured or property, or liability for damage or injury caused to a third party.

Wealth

The abundance of valuable resources, assets, or material possessions an individual or entity controls.

Utility Function

Describes the relationship between the consumption of goods and the resulting level of satisfaction or utility for an individual.