The Practice of People Acting in Their Own Self- Interest

question 12

Multiple Choice

The practice of people acting in their own self- interest is referred to as:

• A)economic rationality
• B)ethical rationality
• C)economic interest
• D)none of the above

---

Definitions:

Operational Funds

Money that is available for daily business activities, including salaries and maintenance, ensuring smooth operations.

Full Capacity Sales

Full capacity sales refer to the maximum sales level that a company can attain with its current production capacity and resources, without additional investment.

Net Income

A company's revenue minus all its expenses and taxes equals its total income.

Fixed Assets

Long-term tangible assets used in the operation of a business and not expected to be converted to cash in the near term.