Critical Thinking Questions Case 5-1 Your Aunt Mabel, the Owner

question 11

Multiple Choice

Critical Thinking Questions Case 5-1 Your Aunt Mabel, the owner of a private day care facility, asks you to update her business Web site by adding an easy-to-update holiday schedule to the site's home page. During lunch you brainstorm the best approach for this project with three classmates - Leah, Rob, and Michelle. Leah suggests that you create a new page for the holiday schedule and just add a link to the holiday schedule page on the home page. Rob suggests that you use the TAB and ENTER keys to simulate columns in which to list the holiday schedule information. Michelle suggests that you place the holiday schedule in a data table. You decide ____.

• A) that adding a link to the home page to a separate holiday schedule page is the easiest approach
• B) to tell Aunt Mabel that there really isn't an effective way to add the holiday schedule information to the home page
• C) that a data table is the best way to organize and present the holiday schedule information
• D) that trying to simulate columns of information in a Web page paragraph is a great idea and can't wait to try it

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Definitions:

Firm

A business organization that sells goods or services in order to make a profit.

Producer Surplus

The difference between what producers are willing to receive for a good or service and the actual amount they receive, due to the market price being higher.

Fixed Costs

Expenses that do not change with the level of production or sales, such as rent, salaries, and insurance premiums.

Unavoidable Costs

Expenses that a company must pay regardless of its level of production or sales activity, also known as fixed costs.