________ Involve Two Parties to a Contract, Either by Words

question 38

Multiple Choice

________ involve two parties to a contract, either by words, writing, or actions, intending to bring benefits to a third party by virtue of an enforceable contract.

• A)Intended beneficiary contracts
• B)Incidental beneficiary contracts
• C)Donee-beneficiary contracts
• D)Creditor-beneficiary contracts

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Definitions:

Long-Run Average Costs

Reflects the per-unit cost of production when all inputs are considered variable over time, highlighting economies of scale.

Perfectly Price-Discriminated

A pricing strategy where a seller charges the maximum possible price that each consumer is willing to pay, leading to maximum profit without surplus.

Pure Monopolist

Describes a market structure where a single company exclusively controls the entire supply of a product or service without any close substitutes, influencing price and market conditions.

Total Revenue

The total amount of money a company receives from its sales of goods or services before any expenses are subtracted.