A Planning Period During Which All of a Firm's Resources

question 184

Multiple Choice

A planning period during which all of a firm's resources are variable is the _____ run.

• A) long
• B) fixed
• C) short
• D) nominal

---

Definitions:

Annual Rate of Return

The percentage of return on an investment over a one-year period, including interest, dividends, and capital gains.

Net Income

A company's total profit calculated by subtracting total expenses from total revenue.

Product Line

A series of related products offered by a company that serve similar functions or are targeted at a similar customer base.

Fixed Costs

Expenses that do not change with changes in the volume of production or sales, such as rent or salaries.