One of the More Interesting Ratios for Franchising Is the Location

question 9

Multiple Choice

One of the more interesting ratios for franchising is the Location Selection Ratio or Sales/Costs ratio.Which of the following ratios would be ranked the best?

• A)¼
• B)½
• C)1
• D)all of the above are desirable ratios

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Definitions:

Upsloping Labor Supply Curve

A graphical representation showing an increase in the quantity of labor supplied as wages rise, under the assumption that higher wages incentivize more work effort.

Player Drafts

A process used in professional sports leagues for teams to select eligible players to join their rosters, often based on a system that aims to maintain competitive balance.

Professional Athletes

Individuals who earn a living through competing in sports where they receive payment for their performance and achievements.

Monopsonistic Employer

A market condition in which a single buyer significantly controls the market as the major purchaser of goods and services.