Which of the Following Statements Is True of Research and Development

question 25

Multiple Choice

Which of the following statements is true of research and development (R&D) ?

• A)Small volumes of production enable firms to spread the cost of research and development (R&D), advertising, and general and administrative expenses.
• B)The higher a firm's R&D costs, the more the scope for the company to expand globally allowing costs to be spread across more customers.
• C)Adding R&D allows a firm to have a cost advantage over competitors.
• D)Eliminating R&D helps firms to lead in launching new product designs.

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Definitions:

Union Density

Represents the percentage of workers in a specific sector or country that are members of labor unions.

U.S. Union

Labor organizations in the United States that represent the collective interests of workers in various industries and advocate for their rights.

Private and Public Sectors

The division of the economy into two parts; the private sector involves businesses owned by individuals or companies, and the public sector involves organizations owned and operated by the government.

Union Density

The ratio of unionized workers to the total number of workers, indicating the prevalence of union membership within a particular labor market.