Freedom of Enterprise Is Defined As

question 104

Multiple Choice

Freedom of enterprise is defined as:

• A)the freedom of firms to obtain and use resources to produce goods and services.
• B)employ and dispose of their property as they see fit.
• C)buy property.
• D)set up any form of business.entity.

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Definitions:

Opportunity Cost

The cost of the next best alternative that is foregone when a decision is made to choose one option over others.

Cash Outlay

The actual amount of money spent by a company to purchase goods or services, as opposed to accounting estimates or accruals.

Alternative Investments

Assets that do not fall into the conventional investment categories such as stocks, bonds, and cash, examples include real estate, commodities, and hedge funds.

Opportunity Cost

The loss of potential gain from other alternatives when one alternative is chosen.