The Way in Which a Country Benefits from Trade Is

question 150

Multiple Choice

The way in which a country benefits from trade is that it can

• A)obtain goods at lower opportunity cost than producing them itself.
• B)exploit economies of scale in production and lower the cost of goods it produces.
• C)obtain a wider range of goods than it can produce for itself.
• D)All of the above are benefits.

Identify the appropriate journal or ledger to record various transactions.

Understand the basics of horizontal analysis for comparing financial data over time.

Match transactions to their respective journals based on the nature of the transaction.

Understand the role of subsidiary ledgers in accounting.

---

Definitions:

Market System

A system of economics where the choices about investment, production, and distribution rely on the principles of supply and demand, and the pricing of goods and services is established freely in the market.

Business Risk

The potential for losses or less than expected returns stemming from the operational aspects of a business.

Macroeconomy

The study of the performance, structure, and behavior of an economy as a whole, including total national income, GDP, and inflation rates.

Market System

A financial structure in which the choices about investment, production, and allocation are directed by the pricing cues generated by supply and demand dynamics.