Factor Prices, Returns from Alternative Activities, Technology, Number of Firms

question 167

Multiple Choice

Factor prices, returns from alternative activities, technology, number of firms, producer expectations, and natural events are often termed:

• A) demand determinants.
• B) demand quantities.
• C) supply prices.
• D) supply shifters.

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Definitions:

Partnership Capital

Partnership capital represents the total equity invested by all partners in a partnership firm, reflecting their pooled capital contributions to the business.

Bonus

When a new partner is admitted, he or she may pay more or less than equity interest. If the new partner pays more, the old partners share a bonus in the profit and loss ratio. Of course, the opposite could result, and the new partner could receive a bonus if he or she invests less than equity interest.

Fair Market Value

The value at which an asset would be sold in a competitive bidding environment.

Capital Account

A financial statement that shows the changes in ownership interest of a country or an organization.