Production Is Productively Efficient When

question 80

Multiple Choice

Production is productively efficient when

• A) the maximum possible output is being produced from a given collection of inputs
• B) people are working their hardest
• C) no more capital can be substituted for labor
• D) technological innovation is no longer desirable
• E) workers perform their duties at the expected level,even if they are physically capable of doing more

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Definitions:

Accounts Receivable

Money owed to a company by its customers for goods or services delivered but not yet paid for.

Growth

An increase in size, amount, or degree, often used in the context of business or economic indicators like sales, revenues, or GDP.

Receivables

Receivables are amounts owed to a company by its customers or debtors for goods or services delivered but not yet paid for.

Factoring

The financial transaction where a business sells its accounts receivable (invoices) to a third party (factor) at a discount, in order to raise immediate capital.