One Reason Why,in Reality,prices Are Sticky in the Short Run

question 24

Multiple Choice

One reason why,in reality,prices are sticky in the short run is because

• A) there are often costs to firms from changing prices.
• B) purely competitive firms have no control over the price of their product and therefore cannot change the price, even if the market warrants a price change.
• C) in the short run, the cost to changing prices always outweighs any benefit.
• D) firms do not have time to react to macroeconomic shocks in the short run.

Explain the role of fairness and equity in motivation according to Equity Theory.

Know the criticisms and limitations of Maslow's hierarchy of needs theory.

Grasp the concept of goal-setting theory and its effectiveness in motivation.

Understand the significance of organizational justice and its types in the workplace.

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Definitions:

Normal Balances

The side of an account (debit or credit) where increases to the account are recorded; assets and expenses typically have debit normal balances, while liabilities, equity, and revenue have credit normal balances.

Perpetual Inventory System

An inventory tracking system that updates item records in real-time as transactions occur, providing a constant current inventory level.

Perpetual Inventory System

An inventory accounting system that records inventory purchases and sales in real-time.

Missing Amounts

Calculations or adjustments made in accounting to determine unknown figures in financial statements due to incomplete records or errors.