Which of the Following Are the Defining Assumptions of the Long

question 39

Multiple Choice

Which of the following are the defining assumptions of the long run in macroeconomics?

• A)Factor prices are exogenous,and technology and factor supplies are changing.
• B)Factor prices adjust to output gaps,and technology and factor supplies are constant.
• C)Factor prices are exogenous,and technology and factor supplies are constant.
• D)Factor prices have fully adjusted to output gaps,and technology and factor supplies are changing.
• E)Factor prices are exogenous,and technology and factor prices are exogenous.

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Definitions:

EOQ

Economic Order Quantity is the ideal quantity of inventory a company should purchase to minimize the total costs of ordering and holding.

Quantity Discount

A pricing strategy where the price per unit of an item is reduced based on the quantity purchased, incentivizing larger orders.

Carrying Costs

The expenses incurred by holding inventory or assets over a period of time.

Carrying Receivables

The process of maintaining accounts receivable on the balance sheet, which represents money owed to a company by its customers for goods or services delivered.