NetJets Is a Company That Offers 1/16 or More Ownership

question 56

Multiple Choice

NetJets is a company that offers 1/16 or more ownership in a jet plane for a price beginning at $325,000.It gives the purchaser privacy, convenience, and flexibility as well as saves them time since the plane is available with four hours notice.This is a high-involvement purchase for most people because

• A)buying a jet is fun and challenging.
• B)buying a jet is only done once in a lifetime.
• C)the type of other investments one has can dictate how quickly you buy the jet.
• D)even fractional ownership in a jet is an expensive purchase for most people.
• E)it is important to find out where this jet can safely land before purchase.

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Definitions:

Economic Growth

A growth in an economy's ability to produce goods and services when comparing one time period to another.

Outward Shift

A movement of a curve away from the origin on a graph, typically indicating an increase in supply or demand.

Comparative Advantage

The proficiency of an individual or group in executing a certain economic function more effectively than other tasks.

Lowest Cost

The scenario in which the expenditure required to achieve a certain objective or to purchase goods and services is minimized.