Janis Wants to Open a Restaurant

question 17

Multiple Choice

Janis wants to open a restaurant.She is not interested in a franchise;she wants to build her business literally from the ground up.When she does,her business will be classified as a:

• A)entrepreneurial opportunity.
• B)startup.
• C)new market idea.
• D)serendipity.

---

Definitions:

Marginal Revenue

The increase in revenue that results from selling one additional unit of a product or service.

Horizontal Axis

The “left-right” or “west-east” measurement line on a graph or grid.

Economic Profit

The discrepancy between a company's complete income and its aggregate expenditures, covering both out-of-pocket and assumed costs.

Purely Competitive

A market structure characterized by a large number of sellers offering identical products, with easy market entry and exit and no single seller controlling market prices.