Figure 2-14 Consider the Production Possibilities Curve for a Country

question 240

Multiple Choice

Figure 2-14 Consider the production possibilities curve for a country that can produce sweaters,apples (in bushels) ,or a combination of the two
-Refer to Figure 2-14.Which combination of points show production possibilities only achievable with improvements in technology or increases in resources?

• A)Q,R,U,and V
• B)S and X
• C)T and W
• D)None of the above is correct.

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Definitions:

Privately Held Corporation

A corporation that has only a few stockholders and whose stock is not available for sale to the general public.

Retained Earnings

The portion of a company's net income that is not distributed as dividends to shareholders but retained for reinvestment in the business or to pay off debt.

Paid-In Capital

The amount of money that a company receives from shareholders in exchange for shares of stock, exceeding the par value of the shares.

Drawings

Withdrawal of cash or other assets from an unincorporated business for the personal use of the owner(s).