Which of the Following Statements Is Correct

question 230

Multiple Choice

Which of the following statements is correct?

• A)When marginal utility is decreasing, an increase in the quantity consumed will decrease total utility.
• B)When marginal utility is positive, an increase in the quantity consumed will decrease total utility.
• C)When marginal utility is positive, an increase in the quantity consumed will increase total utility.
• D)When marginal utility is zero, an increase in the quantity consumed will make total utility zero.

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Definitions:

Agency Problem

A conflict of interest arising between parties with a principal-agent relationship, where the agent's actions may not align with the principal's best interests.

Stockbrokers

Professionals who buy and sell stocks and other securities for their clients, on a stock exchange or over the counter, in return for a fee or commission.

Accounting

The organized logging, presenting, and scrutinizing of a corporation's monetary transactions.

Pass-Through Taxation

A tax treatment applied to certain business entities where profits are taxed only once, directly through the owners’ personal income, avoiding corporate income tax.