In What Sense Are Profit and Loss Signals

question 25

Multiple Choice

In what sense are profit and loss signals?

• A)They signal resources where to move, but give no indication of what consumers want to buy.
• B)They signal resources where to move and signal what goods consumers may want to buy and what goods they may not want to buy.
• C)They are important for government and business accounting procedures.
• D)Profit and loss serve no purpose as signals.

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