Which of the Following Is an Example of an Activity

question 36

Multiple Choice

Which of the following is an example of an activity undertaken by an entrepreneur?

• A)deciding whether to purchase a gasoline-powered automobile or an electric vehicle
• B)being appointed as the head of a charitable organization
• C)running for a seat on the city council
• D)starting your own cigar manufacturing business

---

Definitions:

Perfectly Competitive Market

A market structure characterized by many buyers and sellers, where no single party can influence the market price.

Complementary Resource

A good or service that enhances the value or performance of another primary product or service.

Profit-maximizing Firm

A company that adjusts its production and sales strategies to achieve the highest possible profit, considering its costs and market demand.

Substitution Effect

This effect describes the change in consumption patterns due to a change in the relative prices of goods, leading consumers to substitute more expensive items with cheaper ones.