Which Is the Best Example of Price Discrimination

question 89

Multiple Choice

Which is the best example of price discrimination?

• A) The clearance section at Target.
• B) The dollar menu at McDonalds.
• C) Airline ticket prices.
• D) A fancy restaurant that charges high prices on its menu.

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Definitions:

Financial Risk

The hazard of suffering financial loss through an investment or business endeavor.

Business Risk

encompasses the potential for a firm's operational or financial performance to suffer due to internal or external factors, impacting profitability and viability.

Absolute Priority Rule

A principle in bankruptcy proceedings that senior creditors are paid before junior creditors and equity holders.

Bankruptcy Proceeding

A legal process involving a person or business that is unable to repay outstanding debts, seeking relief through the court's protection.