In the Early 1970s,OPEC's Goal Was to

question 5

Multiple Choice

In the early 1970s,OPEC's goal was to

• A)decrease the world-wide price of oil so that the quantity demanded increased,thus raising total revenues for OPEC members.
• B)increase the world-wide price of oil by reducing the quantity of oil supplied.
• C)increase the world-wide price of oil by increasing the quantity of oil supplied,thus raising total revenues for OPEC members.
• D)decrease the world-wide price of oil so that quantity demanded increased.

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Definitions:

Corporate Tax Rate

The percentage of a corporation's profits that is paid as tax to the government.

Fixed Costs

Costs that do not change with the level of output or sales, such as rent or salaries.

Variable Costs

Costs that change in proportion to the level of production or business activity, such as materials and labor expenses.

Operating Leverage

A measure of how revenue growth translates into growth in operating income, indicating a company's fixed versus variable costs ratio.