To Understand How the Price of a Good Is Determined

question 83

Multiple Choice

To understand how the price of a good is determined in a free market, one must account for the desires of:

• A)buyers.
• B)sellers.
• C)governmental agencies.
• D)buyers and sellers.

---

Definitions:

Manufacturer

A business engaged in the transformation of raw materials into finished goods on a large scale for sale.

Merchandiser

A business or person that purchases goods to sell them at retail or wholesale, making a profit through the markup on sold goods.

Cost of Goods Sold

Costs directly linked to the creation of products sold by a business.

Fraud

Deliberate deception to secure unfair or unlawful gain, or to deprive a victim of a legal right.