If a Firm Can Reduce Its Cost of Goods Sold

question 327

Multiple Choice

If a firm can reduce its cost of goods sold and continue to sell its product for the same price,we would expect the firm to enjoy an increase in its:

• A)revenue.
• B)liabilities.
• C)employee turnover.
• D)gross profit.

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Definitions:

Subsidy

Financial support given by the government or a public body to assist an industry or business so that the price of a commodity or service may remain low or competitive.

Housing

Refers to the construction and assignment of houses or buildings for the purpose of providing shelters or places to live.

Income

The money received by an individual or business in exchange for labor, services, or investments over a given period.

Strawberries

A sweet, red fruit that is widely consumed around the world, known for its unique flavor and nutritional benefits.