The Law of Disproportionality Suggests That ________ Percent of the Company's

question 25

Multiple Choice

The law of disproportionality suggests that ________ percent of the company's menu or profits are accounted for by 20 percent of a firm's products or customers.

• A)50
• B)60
• C)70
• D)80
• E)90

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Definitions:

Opportunity Cost

The cost of forgoing the next best alternative when a choice is made, representing the benefits one misses out on.

Comparative Advantage

The ability of an individual or entity to produce a good or service at a lower opportunity cost than others.

Absolute Advantage

The ability of a country, individual, or group to produce a good or service more efficiently than another entity, using fewer resources.

Car Wash

A facility used to clean the exterior and, sometimes, the interior of motor vehicles.