If the Total Output of Some Industry Is Allocated Among

question 75

Multiple Choice

If the total output of some industry is allocated among its individual firms in such a way that the total cost of producing the industry's output is minimized,we know the industry has achieved
1) full employment of resources;
2) productive efficiency;
3) allocative efficiency.

• A)1 only
• B)2 only
• C)3 only
• D)both 1 and 3
• E)both 2 and 3

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Definitions:

Common Stock

A type of equity security that represents ownership in a corporation, giving holders a share in the company's profits and voting rights.

Par Value

A nominal value assigned to a share of stock or a bond by the issuing company, often used in accounting.

Liability Recorded

The process of documenting a company's obligations or debts in its financial records.

Noncash Asset

An asset that is not in the form of cash and can include things like real estate, vehicles, equipment, and intellectual property.