Market Failure Is the Inability of

question 390

Multiple Choice

Market failure is the inability of

• A)buyers to interact harmoniously with sellers in the market.
• B)a market to establish an equilibrium price.
• C)buyers to place a value on the good or service.
• D)some unregulated markets to allocate resources efficiently.

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Definitions:

Sales Forecast

An estimate of sales for a future period, often used for planning and managing business operations.

Master Budget

A comprehensive financial planning document that consolidates all individual budgets within an organization, projecting its overall financial activities.

Firm Forecast

A prediction or estimation about future business conditions that is relatively certain and stable.

Finished Goods Units

Products that have completed the manufacturing process and are ready to be sold.