Which Definition Best Describes Parsimony

question 71

Multiple Choice

Which definition best describes parsimony?

• A) explaining the most with the least
• B) explaining the least with the most
• C) being able to explain all of the change in the response variable
• D) being able to predict the value of the response variable far into the future

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Definitions:

Economic Profit

The difference between total revenues and total costs, including both explicit and implicit costs.

Implicit Costs

Also known as imputed or opportunity costs, they refer to the value of resources used in production that are not directly paid for or accounted for as expenses.

Team Production

A process in which a group of individuals with diverse skills and expertise work together towards a common production goal, enhancing efficiency and outcomes.

Contracting Out

involves a business hiring external organizations to perform specific tasks or services rather than using its internal resources.