Competitive Markets Usually Promote the Efficient Use of Resources

question 13

Multiple Choice

Competitive markets usually promote the efficient use of resources.This is because:

• A)resource owners bear the wealth effects of their decisions.
• B)managers always have the proper incentives to make decisions.
• C)consumers price makers
• D)markets usually make equitable choices first.

Determine the effect of physical inventory count errors on the financial statements.

Understand the implications of FOB shipping terms on inventory accounting.

Compare the effects of FIFO and LIFO in a period of increasing costs.

Understand and calculate various inventory accounting methods (FIFO, LIFO, and Average cost).

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Definitions:

Conditioned Stimulus

A neutral stimulus that, once linked with an unconditioned stimulus, ultimately evokes a conditioned response.

Meat Powder

A term possibly referring to powdered forms of meat used in experiments or as dietary supplements, although it is not a widely recognized scientific or nutritional term.

Unconditioned Stimulus

In classical conditioning, a stimulus that innately and automatically elicits a reaction without the need for previous learning.

Stimulus Generalisation

The tendency for the conditioned response to be evoked by stimuli that are similar to the stimulus that originally evoked the response.