Figure 21-8

question 313

Multiple Choice

Figure 21-8
-Refer to Figure 21-8.Which of the following statements is correct?

• A) The indifference curves represented in graph a are perfect complements.
• B) The indifference curves represented in graph b are perfect substitutes.
• C) The indifference curves represented in graph c are neither perfect substitutes not perfect complements.
• D) All of the above are correct.

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Definitions:

Gross Requirements

The total amount of materials or products needed before any adjustments for inventory or scheduled production.

Net Requirements

The total amount of a material or product required, taking into account current inventory and any orders in process, to meet customer demand.