Which of the Following Statements Best Reflects the Guideline for Using

question 219

Multiple Choice

Which of the following statements best reflects the guideline for using a base of facts and valid assumptions?

• A)"Statistics show that green is the most popular color for scarves for men;it only stands to reason the women will feel the same way."
• B)"Of all nurses surveyed,16 percent reported that they prefer a lighter weight handle.But we have to see if there is a difference in preference between male and female nurses before we make any modifications."
• C)"If people prefer chicken over beef at lunch,it is logical that they will prefer chicken for dinner as well."
• D)"I know that your research shows that yellow ducks will sell better,but my granddaughter loves pink bunnies,so that's what we'll put on the cards."
• E)"My intuition says that everyone will like the new iPhone."

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Definitions:

Internalize

The process of incorporating the cost of externalities into the decision-making process of firms or individuals.

Marginal Social Cost

Marginal social cost is the total cost to society of producing an additional unit of a good, including both private costs and any external costs.

External Costs

Costs incurred as a result of an economic activity that are not borne by the entities undertaking the activity but rather by other parties or society at large.

Marginal Cost

The rise in expense associated with the production of an extra unit of a product or service.