Which of the Following Statements Is True

question 27

Multiple Choice

Which of the following statements is true?

• A)Individuals who have never been the best at doing anything cannot have a comparative advantage in producing any product.
• B)Individuals who have never been the best at doing anything can still have a comparative advantage in producing some product.
• C)Individuals who have never been the best at doing anything perform all tasks at a higher opportunity cost than others.
• D)Individuals who have never been the best at doing anything must have an absolute advantage in at least ones task.

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Definitions:

Oral Contracts

Agreements that are made verbally and not recorded in a written document, but are still legally binding.

Written Ones

Documents or agreements that are formally inscribed or recorded in written form.

Accord and Satisfaction

A legal settlement where a debtor offers payment less than the amount owed, and the creditor accepts this payment as full settlement of the debt.

Rescission

The legal act of cancelling a contract and returning all involved parties to their state prior to the agreement, often due to misrepresentation, fraud, or mistake.