Exchange Is Necessary in an Economy If

question 23

Multiple Choice

Exchange is necessary in an economy if:

• A)output is to be produced.
• B)output is to be consumed.
• C)individuals are self-sufficient.
• D)families are self-sufficient.
• E)labor is specialized.

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Definitions:

Total Assets

The sum of everything an organization owns, both current and noncurrent, that can be used to generate value.

Income Statement

A report detailing a business's income, outgoings, and profit over a set period.

Financial Statement

A financial statement is a report that provides information regarding a company's financial performance and position, including its income statement, balance sheet, and cash flow statement.

Profit

The financial gain achieved when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes involved in sustaining the activity.