Which Is Not a Characteristic of a Good Economic Model

question 1

Multiple Choice

Which is not a characteristic of a good economic model?

• A)Focuses on important details
• B)Predicts cause and effect
• C)Builds vague assumptions
• D)Describes the world accurately

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Definitions:

FOB Destination

A shipping term indicating that the seller bears freight charges and retains ownership of goods in transit until they are delivered and accepted by the buyer.

Perpetual Inventory System

A method of inventory management where updates are made continuously to record sales and purchases.

Credit Memo

A document issued by a seller that reduces the amount owed by a buyer, typically due to a return or rebate.

FOB Shipping Point

A term used in shipping agreements indicating that the buyer assumes responsibility for the goods and their transportation costs from the point of departure.