What Is the Best Example of a Marginal Change

question 180

Multiple Choice

What is the best example of a marginal change?

• A) College tuition rose by 5% last year.
• B) Yao gets a big promotion at work. He also gets a raise from $50,000 per year to $80,000 per year.
• C) Rory graduates from university and takes a job. His income increases from $10,000 per year to $50,000 per year.
• D) A drought hits Alberta and the price of corn increases from $4.00 per bushel to $6.00 per bushel.

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Definitions:

Aggregate Planner

A tool or process used to determine the optimum levels of production, inventory, and workforce required to meet forecasted demand while minimizing costs.

Basic Strategies

Fundamental approaches or methods applied in planning and decision-making to achieve desired business outcomes or objectives.

Aggregate Planning

A marketing activity aimed at balancing supply and demand by determining the optimal level of production, workforce, inventory, and backorder levels over a medium-term horizon.

Operational Parameters

Entail the specific variables or boundaries within which operations are conducted, including production rates, quality levels, and workforce allocation.