Which of the Following Factors Made It Difficult for Major

question 156

Multiple Choice

Which of the following factors made it difficult for major industries to hold the line against inflation in the 1970s?

• A) The quality of manufactured products increased, causing production costs to increase.
• B) Higher labor costs accompanied a decline in productivity.
• C) The supply of manufactured goods outstripped the demand for goods.
• D) Corporate tax rates tripled during the decade.

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Definitions:

Transportation Costs

Expenses associated with moving goods or services from one location to another, including fuel, labor, and maintenance.

FOB Origin Pricing

The “free on board” (FOB) price the seller quotes that includes only the cost of loading the product onto the vehicle and specifies the name of the location where the loading is to occur (seller’s factory or warehouse).

Cost Of Loading

The expenses incurred in the process of loading goods onto a conveyance for transportation, such as labor, equipment, and material handling costs.

Trade-In Allowance

A discount or credit granted for the return of something old when purchasing something new.