Ken Values His Boat at $5,000, and Monica Values It

question 20

Multiple Choice

Ken values his boat at $5,000, and Monica values it at $8,000. If Monica buys it from Ken for $7,000, which of the following is true?

• A) Ken gains $2,000 of value, and Monica gains $1,000 of value.
• B) Ken gains $7,000 of value, and Monica loses $7,000 of value.
• C) Ken gains $7,000 of value, and Monica gains $3,000 of value.
• D) Ken and Monica both gain $7,000 of value.

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Definitions:

Small Businesses

Small businesses are independently owned and operated companies that are limited in size and revenue, depending on the industry.

Personal Communication

Direct interaction between individuals, allowing for the exchange of information or ideas.

Prospective Customer

An individual or organization that could potentially purchase a product or service but has not yet done so.

Needs

Basic or necessary desires or requirements essential for an individual's well-being or the effective functioning of a system.