Long-Term Contracts Become Longer

question 119

Multiple Choice

Long-term contracts become longer:

• A) when specialized investment becomes more important.
• B) when the exchange environment is more complex.
• C) when spot markets work well.
• D) when marginal costs are declining.

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Definitions:

Enzymes

Proteins that act as biological catalysts to speed up chemical reactions in cells.

−COOH Group

A functional group characteristic of carboxylic acids, consisting of a carbon atom double-bonded to an oxygen atom and single-bonded to a hydroxyl group.

Amino Acids

Organic compounds that combine to form proteins and are used by the body for various functions including tissue repair and the synthesis of neurotransmitters.

Fatty Acids

Organic compounds made of long hydrocarbon chains ending in a carboxylic acid group, essential in diet and biology for energy storage and cell membrane structure.