Consider the Following Statements

question 139

Multiple Choice

Consider the following statements:
a.Car owners purchase more petrol from a petrol station that sells petrol at a lower price than other rival petrol stations in the area.
b. Banks do not take steps to increase security since they believe it is less costly to allow some bank robberies than to install expensive security monitoring equipment.
c. Firms produce more of a particular DVD when its selling price rises.
Which of the above statements demonstrates that economic agents respond to incentives?

• A)b only
• B)c only
• C)a and b
• D)a, b, and c

Understand the functions of nonverbal communication with a focus on theories by Albert Mehrabian.

Define and assess the role of gestures, specifically displays, in communication.

Comprehend the benefits and techniques of active listening in enhancing communication.

Explore the concept, role, and dynamics of the grapevine in organizational communication.

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Definitions:

Cost of Goods Sold

The direct costs attributable to the production of the goods sold in a company, including material and labor expenses.

Operating Expense

This refers to the costs associated with the normal day-to-day operations of a business, excluding costs directly related to product manufacturing or service delivery.

Merchandising Company

A business entity that purchases and sells tangible goods without significantly altering their form.

Terms 2/10, n/30

Payment terms indicating a 2% discount if the bill is paid within 10 days; otherwise, the net amount is due in 30 days.