Use the Following to Answer Questions

question 213

Multiple Choice

Use the following to answer questions:
Figure: Industry Firms
-(Figure: Industry Firms) Refer to the figures. This industry is a(n) :

• A) increasing cost industry.
• B) decreasing cost industry.
• C) constant cost industry.
• D) quadratic cost industry.

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Definitions:

Finance Company

A business that makes loans to individuals and/or corporations, besides banks and other traditional financial institutions.

Friendly Bank

Informal term for a bank with which an individual or business has a good relationship and favorable terms.

Liability

A legal responsibility or obligation, often involving compensation for harm or damage caused.