Every Allocation of Goods in a One Good World Is

question 16

Multiple Choice

Every allocation of goods in a one good world is efficient because:

• A)MRSs are equalized.
• B)there is enough to go around for everyone.
• C)no one can be made better off without making someone else worse off.
• D)it doesn't matter to whom an extra unit of the good is given.

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Definitions:

Quick Ratio

A financial metric that measures a company's ability to meet its short-term obligations with its most liquid assets; also known as the acid-test ratio.

Current Assets

Assets that are expected to be converted into cash or used up within one year or one business cycle, whichever is longer.

Current Liabilities

Short-term financial obligations due within one year, such as accounts payable and short-term loans.

TIE

The Times Interest Earned (TIE) ratio is a financial metric that measures a company's ability to meet its debt obligations based on its current income.