With No Opportunity Cost, Using the Market Price as a Transfer

question 89

True/False

With no opportunity cost, using the market price as a transfer price will not create dysfunctional decisions.

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Definitions:

CS (Conditioned Stimulus)

An initially neutral stimulus that, after being associated with an unconditioned stimulus, eventually comes to trigger a conditioned response.

UCS (Unconditioned Stimulus)

An unconditioned stimulus is something that naturally and automatically triggers a response without any learning needed (e.g., food causing salivation in dogs).

Classical Conditioning

A conditioning process where two stimuli are systematically paired; the response, at first provoked by the second stimulus, is gradually elicited by the first stimulus alone.

Conditioned Stimulus

In classical conditioning, a previously neutral stimulus that, after association with an unconditioned stimulus, comes to trigger a conditioned response.