If a Firm Consisting of More Than One Person Is

question 57

Multiple Choice

If a firm consisting of more than one person is following a _____ organizational structure, tasks tend to be distributed among them in an informal manner rather than each person developing a narrow area of specialization.

• A) matrix
• B) functional
• C) multidivisional
• D) simple
• E) bureaucratic

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Definitions:

Substitutes

Products or services that can be used in place of each other, where the increase in price of one leads to an increase in demand for the other.

Complements

Items or services used together, where the use of one increases the demand for the other.

Consumer Surplus

The variance between the aggregate amount consumers intend and can afford to pay for a good or service and the total they actually do pay.

Supply Curve

A supply curve is a graph that shows the quantity of goods that producers are willing to sell at different prices, typically depicting a positive relationship between price and quantity supplied.