Which of the Following Statements Is True of Good Information

question 5

Multiple Choice

Which of the following statements is true of good information?

• A)Good information should go well beyond the scope of the purpose for which it is generated.
• B)Information should be relevant to the subject, not necessarily to the context.
• C)Good information should be based on correct and complete data.
• D)Good information is only received from sources that provide data for free.

Interpret the slope of indifference curves as the rate of substitution between goods.

Comprehend how movement along an indifference curve affects total utility.

Relate the concept of higher indifference curves with greater levels of utility.

Understand the non-crossing property and convexity of indifference curves for ordinary goods.

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Definitions:

Inventory

All products and materials that a company holds, aimed at either resale or being incorporated into manufacturing processes.

FOB Shipping Point

A term of sale indicating that the buyer assumes responsibility for shipping costs and risk of loss once the seller has delivered the goods to the shipping carrier.

Sales Discount

A reduction in the price of a product or service offered to customers, typically to prompt early payment or bulk purchases.

Cash Returns

Financial returns or profits that are received in the form of cash, as opposed to stock dividends or other non-liquid forms of return.