In His 1951 Book, Social Choice and Individual Values, Kenneth

question 224

Multiple Choice

In his 1951 book, Social Choice and Individual Values, Kenneth Arrow used the term "unanimity" to mean

• A)A beats B only if everyone prefers A to B.
• B)if everyone prefers A to B, then A beats B.
• C)if A beats B and B beats C, then A must best C.
• D)everyone who is eligible to vote must vote; otherwise, the outcome is invalid.

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Definitions:

Operations

Refers to the day-to-day activities involved in running a business that lead to the production of goods and provision of services.

Variable Costing

A costing method that includes only variable manufacturing costs—direct materials, direct labor, and variable manufacturing overhead—in product costs.

Absorption Costing

A bookkeeping technique that encases the entirety of manufacturing expenses such as direct materials, direct labor, along with both variable and fixed overhead costs, in the product’s cost.

Divisional Segment Margin

A measure of the profitability of a specific division or segment within a company, usually calculated as the division's earnings before interest and taxes divided by its revenues.