Which of the Following Factors Is Likely to Make Companies

question 79

Multiple Choice

Which of the following factors is likely to make companies revise and rewrite their codes of ethics from time to time?

• A)A continuous change in the technology used by the company
• B)An increase in costs due to certain codes of ethics being maintained
• C)An increase in conflicts within the organization due to the implementation of the codes of ethics
• D)A decline in the employees' productivity due to strict codes of ethics

---

Definitions:

Profit-Maximizing Level

the output quantity at which a firm achieves the highest possible profit, where marginal revenue equals marginal cost.

Excess Capacity

A situation where a firm is producing at a lower level of output than it has the potential to due to insufficient demand.

Average Total Cost

The total cost of production divided by the number of units produced, representing the per unit cost of production.

Economic Usefulness

The degree to which a product or service can satisfy consumers' needs and desires, thus determining its value in the market.