Which of the Following Costs Are Part of a Firm's

question 101

Multiple Choice

Which of the following costs are part of a firm's opportunity costs?
I. Costs of resources bought in markets.
II. Costs of resources the firm owns.
III. Costs of resources supplied by the owner.

• A) I only
• B) I and III
• C) I and II
• D) I, II and III

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Definitions:

E-factor Measurement

This metric assesses the environmental impact of chemical processes, calculating the amount of waste generated per unit of product.

Atom Economy

A measure of the efficiency of a chemical reaction, in terms of how much of the reactants end up in the desired final products.

Circular Economy

An economic system aimed at minimizing waste and making the most of resources by reusing, repairing, refurbishing, and recycling existing materials and products.

International Manufacturing

The production of goods in multiple countries to take advantage of global efficiencies such as lower labor costs.