A Computer Manufacturer Sells Laptops to Retail Stores for $450

question 76

Multiple Choice

A computer manufacturer sells laptops to retail stores for $450 each.If the manufacturer pays $200 for the components in each laptop and $75 in wages,the value added to each computer by manufacturing is

• A)$450.
• B)$250.
• C)$175.
• D)$75.

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Definitions:

Reducing Imports

A strategy aimed at decreasing the volume of goods and services a country buys from abroad, often to support domestic production.

Voluntary Agreements

Contracts or arrangements entered into freely by parties without coercion, commonly seen in business or employment contexts.

Subsidies

Financial support provided by governments to entities, aimed at reducing the cost of services and goods, promoting economic and social policies.

Balance of Trade Deficit

A situation where the value of a country's imports exceeds the value of its exports, resulting in a net outflow of domestic currency to foreign markets.