An Offer

question 16

Multiple Choice

An offer:

• A)cannot be modified or revoked before acceptance.
• B)may be made by either a buyer or a seller.
• C)generally includes advertisements and price lists.
• D)cannot be modified or revoked before acceptance and generally includes advertisements and price lists.
• E)may be made by either a buyer or a seller and generally includes advertisements and price lists.

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Definitions:

Optimal Supply

Refers to the ideal level of stock or inventory that a company should maintain to meet demand without incurring excess costs or shortages.

Product Price

The monetary cost of a product, determined by factors such as production costs, competition, demand, and market conditions.

Externality

A consequence of an economic activity experienced by unrelated third parties; it can be positive or negative.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of that good that suppliers are willing to sell.