Markets That Are Often Described as Dynamic and Innovative Are

question 46

Multiple Choice

Markets that are often described as dynamic and innovative are called:

• A)slow-cycle markets
• B)fast-cycle markets
• C)standard-cycle markets
• D)sheltered markets

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Definitions:

Fixed Cost

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

Variable Cost

A variable cost changes in direct proportion to the level of production or activity in a business, such as materials and labor.

Marginal Cost

The additional expense incurred from generating one more unit of a product or service.

Total Fixed Costs

The total of all expenses that stay unchanged no matter the amount of production or output.