"There Is No Such Thing as a Free Lunch

question 47

Multiple Choice

"There is no such thing as a free lunch." This statement best reflects the fact that

• A) consumers are unwilling to pay for a good unless it provides them with value.
• B) an opportunity cost is always present when scarce resources are used to produce a good.
• C) it generally requires enormous effort to search out the best place to eat lunch.
• D) the value of a good to consumers will decrease as they have more of it.

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Definitions:

Goodwill

is an intangible asset that arises when a company is acquired for more than the fair value of its net identifiable assets, reflecting the company’s reputation, brand, customer relationships, and other non-physical assets.

Tone

The attitude of the writer toward both the reader and the subject matter that is communicated in a written document.

Vocabulary

The set of words within a language known and used by a person.

Clarity

The specificity of a message and how easily the reader can comprehend the information.