Which of the Following Statements Is True About Businesses and Profits

question 32

Multiple Choice

Which of the following statements is true about businesses and profits?

• A)Profit making is a business activity that seldom requires risk taking.
• B)Businesses do not have the right to use their profits the way they choose.
• C)Profit-making businesses often weaken the economy of a country.
• D)Earning profits contributes to society by providing employment.
• E)Ignoring the interests of stakeholders is the best way for a business to be profitable.

---

Definitions:

Objective Concept

A notion or idea based on factual and measurable evidence rather than personal feelings or opinions.

Observable Phenomenon

Events or occurrences that can be perceived directly through the senses or with the help of scientific instruments.

Not Scarce

Describes resources that are available in abundance and not limited in supply, in contrast to scarce resources which are limited and can be exhausted.