Brian Is Paid Monthly Via a Direct Deposit into an Interest-Bearing

question 13

Multiple Choice

Brian is paid monthly via a direct deposit into an interest-bearing checking account. He withdraws $500 of this pay in cash at the beginning of the month to spend throughout it. However, due to recent inflation, Brian decides to instead withdraw $125 from the bank every week, so that his money can earn interest for as long as possible. The time and energy Brian spends visiting the bank more often would be classified as a:

• A) shoe-leather cost.
• B) menu cost.
• C) transactions cost.
• D) tax distortion.

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Definitions:

Geographic Location

The specific physical position of a place or entity on the Earth's surface, often considered in strategic planning or analysis.

Manufacturing And Operations

The processes involved in transforming raw materials into finished products and managing the system to ensure efficiency and productivity.

Proximity To Customers

The closeness of a business to its customers in terms of location, understanding their needs, and providing quick service.

Make-Or-Buy Policy

A decision-making process used by companies to determine whether to produce goods internally or purchase them from an external supplier.