Exhibit 1A-4 Straight Line

question 46

Multiple Choice

Exhibit 1A-4 Straight line
In Exhibit 1A-4, as X increases along the horizontal axis, corresponding to points A-D on the line, the Y value remains unchanged at 40 units. The relationship between the X and Y variables is:

• A) direct.
• B) inverse.
• C) independent.
• D) undefined.

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Definitions:

Capital

Assets used for the production of goods and services, including machinery, buildings, and equipment.

Production Possibility Frontier

A curve depicting all maximum output possibilities for two goods, given a set of inputs and technology.

Capital

Refers to financial resources, machinery, and buildings used for producing goods and services.

Trade-Offs

Decisions made that involve choosing between benefits and drawbacks of different options, reflecting the concept of opportunity cost.