Use the Figure Below to Answer the Following Questions

question 2

Multiple Choice

Use the figure below to answer the following questions. Figure 2.1.1
-Complete the following sentence.In Figure 2.1.1,

• A)movement from A to B would require a technological advance.
• B)point B is a point of production efficiency.
• C)some resources must be unused at point C.
• D)the concept of decreasing opportunity cost is illustrated.
• E)movement from C to B would require a technological improvement.

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Definitions:

Insurance

A contract in which the insured party makes payments to the insurer in exchange for the insurer’s promise to make payment or transfer goods to another party in the event of injury or destruction to the insured party’s property or life.

Shipping Term

Conditions that outline the delivery arrangements and responsibilities between buyers and sellers, often specified in contracts.

FAS

A term in international commerce, standing for "Free Alongside Ship," indicating that the seller is responsible for the delivery of goods to a named port alongside a vessel.

Risk Passes

A term indicating the point in a transaction where the liability for loss or damage to goods transfers from the seller to the buyer.