The MPC Is Equal to the

question 26

Multiple Choice

The MPC is equal to the

• A)level of consumption expenditure divided by the level of total disposable income that brought it about.
• B)level of consumption divided by the change in disposable income that brought it about.
• C)change in consumption expenditure divided by the total disposable income that brought it about.
• D)change in disposable income divided by the change in consumption expenditure.
• E)change in consumption expenditure divided by the change in disposable income that brought it about.

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Definitions:

Free Sample

A complimentary product or service given to potential customers with the goal of introducing the product and encouraging future purchases.

Need-Payoff Question

A question posed by a salesperson to make a potential buyer consider the positive outcomes or benefits of purchasing a product or service.

SPIN Approach

A sales technique based on asking Situation, Problem, Implication, and Need-payoff questions to understand a prospect's needs and propose solutions effectively.

Retail Salesperson

This individual sells goods or services to customers for their personal, nonbusiness use.