As the Price of a Good Rises

question 88

Multiple Choice

As the price of a good rises:

• A)firms generally decrease the supply of the good.
• B)more firms can cover their opportunity cost of producing the good.
• C)firms generally increase the supply of the good.
• D)government regulation becomes more justified.

Calculate economic and accounting profits given business operational data.

Analyze the components of total costs and their impact on profits.

Determine the effect of opportunity costs on the profitability of a business.

Evaluate the condition of a firm based on its profit/loss status.

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Definitions:

Ethical Leadership

Ethical Leadership is the practice of governing or leading a group, organization, or institution with principles that are morally upright, ensuring fairness, respect, and integrity are at the forefront of all decisions.

Ethics

Moral principles that govern a person's behavior or the conducting of an activity.

Leadership

Leadership is the act of guiding or influencing others towards achieving common goals through vision, inspiration, and effective management of resources.

Influence

The potential to shape the attributes, progression, or responses of a being or item, or the shaping force itself.