Which of the Following Statements Defines Communication Cost

question 28

Multiple Choice

Which of the following statements defines communication cost?

• A) It is the cost of obtaining data that an organization does not have.
• B) It is the cost of transforming raw data into meaningful information.
• C) It is the cost of transmitting information from one place to another.
• D) It is the cost of physically or electronically archiving information.

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Definitions:

Producer Surplus

The discrepancy between what sellers are prepared to accept for a commodity and the real payment they secure from selling it at the prevailing market price.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of the good that suppliers are willing to sell, typically upwards sloping.

Consumer Surplus

The difference between the sum total consumers are ready and capable of contributing towards a good or service and what they genuinely contribute.

Price Floor

A government-imposed minimum price below which a specific good or service cannot legally be sold, aimed at protecting producers or encouraging certain activities.