Which of the Following Would Never Be Classified as a Long-Term

question 65

Multiple Choice

Which of the following would never be classified as a long-term investment?

• A)Strategic investments
• B)Trading investments
• C)Investments in associates
• D)Bonds with a ten-year maturity

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Definitions:

Market Supply Curve

A graphical representation showing the total quantity of a good or service that suppliers are willing and able to sell at different prices.

Producer Surplus

The difference between the amount that producers are willing and able to sell a good for and the actual amount they receive in the market.

Economic Rent

Income derived from the possession of a unique resource, exceeding that which is needed to keep the resource in its current employment.

Economic Profit

The profit from producing goods and services while considering both explicit and implicit costs, including opportunity costs.