Which of the Following Is a Reason for a Firm

question 16

Short Answer

Which of the following is a reason for a firm to Buy rather than make?
a) To eliminate competition among upstream suppliers
b) Upstream firms aggregate the demands of many buyers and provide economies of scale.
c) To prevent downstream competitors from reducing their prices
d) Tax advantages for purchasing upstream rather than making internally
e) None of the above

---

Definitions:

Child And Dependent Care Expenses Credit

A tax credit available to taxpayers who pay for childcare or dependent care while they work or look for work.

Dependent Children

Children who are financially supported by a parent or guardian and meet specific criteria, qualifying the parent to receive tax benefits; a reiteration with emphasis on the criteria aspect.

Qualified Day Care Center

A child care facility that meets specific criteria set by the IRS to be eligible for certain tax benefits.

Full-Time Student

A status for individuals who attend an educational institution for a certain number of hours or courses as defined by the institution.