A Society Needs Institutions in Order to

question 10

Multiple Choice

A society needs institutions in order to

• A)allow it to adapt to its physical and social environments.
• B)promote social integration.
• C)enforce rules to ensure social control.
• D)all of these

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Definitions:

Implicit Costs

Expenses that do not involve a direct monetary payment but represent the opportunity cost of using resources owned by the company or individual.

Average Cost of Production

The total cost of production divided by the quantity of output produced, indicating the cost to produce each unit of output.

Total Profit

The net profit a company earns, calculated by deducting all costs from its total income.

Profits

The financial gain obtained when the revenues generated from business activities exceed the expenses, costs, and taxes involved in maintaining the operation.