The Fixed Costs of WeBuy&Sell

question 21

Multiple Choice

The fixed costs of WeBuy&Sell.com,an e-commerce website,make up about 90 percent of the total costs incurred by the company.However,since its primary means of communication is web advertising,WeBuy&Sell.com has variable costs as low as 10 percent of its total costs.This allows WeBuy&Sell.com to earn high profits at a very low cost.According to the given scenario,WeBuy&Sell.com has _____ scalability.

• A) zero
• B) low
• C) infinite
• D) high

Identify the impact of changes in productivity, technology, and resources on the economy's production capabilities.

Understand the concepts of opportunity cost and comparative advantage in the context of resource allocation and production efficiency.

Explore the effect of changes in consumer preferences and external shocks (such as wars) on the production possibilities of an economy.

Learn the potential outcomes of improvements in education and general knowledge on economic growth and production possibilities.

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Definitions:

Auditory Hallucinations

The experience of hearing sounds or voices that have no physical source, often associated with psychiatric conditions such as schizophrenia.

Genetic-Linked Anemia

A type of anemia that is caused by inherited genetic conditions affecting the blood and its components, leading to reduced oxygen transport.

Balanced Diet

A diet consisting of a variety of different types of food providing adequate amounts of nutrients necessary for good health.

Eating Habits

Patterns or behaviors related to how people choose, consume, and process food, significantly impacting nutritional health and well-being.