Which of the Following Statements Is CORRECT

question 18

Multiple Choice

Which of the following statements is CORRECT?

• A) when fixed assets are added in large, discrete units as a company grows, the assumption of constant ratios is more appropriate than if assets are relatively small and can be added in small increments as sales grow.
• B) firms whose fixed assets are "lumpy" frequently have excess capacity, and this should be accounted for in the financial forecasting process.
• C) for a firm that uses lumpy assets, it is impossible to have small increases in sales without expanding fixed assets.
• D) there are economies of scale in the use of many kinds of assets. when economies occur the ratios are likely to remain constant over time as the size of the firm increases. the economic ordering quantity model for establishing inventory levels demonstrates this relationship.
• E) when we use the afn equation, we assume that the ratios of assets and liabilities to sales (a0*/s0 and l0*/s0) vary from year to year in a stable, predictable manner.

Understand the concept of total surplus in a market without and with international trade.

Comprehend how trade impacts consumer and producer surplus.

Analyze the effects of tariffs on domestic markets, including government revenue and deadweight loss.

Understand how prices adjust when a country begins to trade internationally.

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Definitions:

Schizophrenia

A chronic brain disorder known for causing a range of symptoms, such as delusions, hallucinations, and disordered thinking, impacting daily functioning.

Atypical Antipsychotic Drugs

A newer class of psychiatric medication that treats symptoms of psychosis, such as delusions and hallucinations, with potentially fewer side effects than older antipsychotic drugs.

Extrapyramidal Side Effects

Side effects caused by certain medications, particularly antipsychotics, that affect movement, leading to symptoms like tremors, slowness, and muscle stiffness.

Conventional Antipsychotic

A class of drugs used to treat symptoms of psychosis such as schizophrenia, characterized by blocking dopamine receptors.