A Small Business Person Advancing the Product to an Intermediary,who

question 1

Multiple Choice

A small business person advancing the product to an intermediary,who then tries to sell it to the final user is practicing

• A) Payment in advance
• B) Letter of credit
• C) Documentary collection
• D) Consignment

---

Definitions:

Total Surplus

The aggregate net benefit to society derived from the production and consumption of a good or service, comprising both consumer and producer surplus.

Equilibrium Price

The market price at which the quantity of goods supplied is equal to the quantity of goods demanded, achieving a state of market balance.

Consumer Surplus

The division between the total financial commitment consumers are willing to make for a product or service and the amount they actually contribute.

Price Floor

A minimum legal price set by the government at which a good or service can be sold, aiming to prevent prices from falling too low.