Which of the Following Terms Refers to the Metrics Used

question 51

Multiple Choice

Which of the following terms refers to the metrics used to measure the performance of subunits and make judgments about how well managers are running those subunits?

• A) Key processes
• B) Control systems
• C) Knowledge networks
• D) Job assignments

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Definitions:

Producer Surplus

The difference between what producers are willing to accept for a good or service versus what they actually receive, measured by the area above the supply curve and below the price level.

Demand

The desire to purchase goods and services backed by the ability and willingness to pay a certain price.

Consumer Surplus

The gap between the total price consumers are ready and able to spend on a good or service and what they actually spend.

Willingness To Pay

The maximum amount an individual is prepared to spend to acquire a good or service.