One Activity Within the Value Chain Is Research and Development

question 1

Multiple Choice

One activity within the value chain is research and development.This activity can be identified as a

• A)firm infrastructure activity.
• B)human resources activity.
• C)technology activity.
• D)purchasing activity.

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Definitions:

Economic Profit

The financial gain achieved by a firm or individual after deducting both explicit (direct) and implicit (indirect, such as opportunity costs) costs from total revenues.

Investment

Committing funds to assets with the goal of earning returns over time.

Interest Rate

The percentage charged on the total amount borrowed or earned on investments, representing the cost of borrowing or the gain on saved or invested money.

Capital Market

Refers to financial markets where long-term debt or equity-backed securities are bought and sold.