Change in the Industry Environment Faced by a Firm Is

question 24

Multiple Choice

Change in the industry environment faced by a firm is

• A)massive and unpredictable.
• B)gradual and predictable.
• C)could be either a or b, depending on the industry and the prevailing conditions.
• D)easier for large firms to cope with.

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Definitions:

Sales Taxes

Taxes imposed by governments on the sale of goods and services.

Regressive

A type of tax system in which the tax rate decreases as the taxable amount increases, often placing a higher burden on lower-income earners.

Inelastic Supply

A situation where the supply of a good does not significantly change when its price changes, often due to limitations in production capabilities or time constraints.

Excise Tax

A tax imposed on specific goods or services, such as tobacco and alcohol, often intended to discourage their use or generate revenue.