An Increase in Which of the Following Variables Should Cause

question 7

Multiple Choice

An increase in which of the following variables should cause an increase in profit per unit of capital?

• A) The ratio of total sales to the capital stock.
• B) Total sales.
• C) The ratio of total sales to total wages and salaries.
• D) The capital stock.
• E) Total wages and salaries.

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Definitions:

Results Of Others

The outcomes or outputs produced by individuals or groups other than oneself.

Inventory Management

The practice of overseeing and controlling the ordering, storage, and use of components that a company uses in the production of the items it sells.

Supply Chain Management

The oversight of materials, information, and finances as they move from supplier to manufacturer to wholesaler to retailer to consumer.

Work In Process

Inventory or products that are in the production process but are not yet completed, representing a stage between raw materials and finished goods.