Which of the Following Statements Is True

question 103

Multiple Choice

Which of the following statements is true?

• A) The concept of opportunity costs cannot be illustrated within a PPF framework.
• B) If scarcity did not exist,neither would a PPF.
• C) All PPFs are downward-sloping straight lines.
• D) There are more attainable points than unattainable points in every PPF diagram.

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Definitions:

Monthly Depreciation

The portion of a fixed asset's cost allocated as an expense over a single month, reflecting the asset's decrease in value over time.

Accounts Payable

Accounts Payable is the amount of money owed by a business to its suppliers or creditors for goods and services purchased on credit.

Production Costs

The combined expenses associated with manufacturing a product, including labor, materials, and overhead costs.

Selling Expenses

Selling expenses are costs associated with the selling of a company’s products or services, including advertising, sales commissions, and store maintenance.