The Inventories as a Factor of Production Motive for Holding

question 44

Multiple Choice

The inventories as a factor of production motive for holding inventories suggests that:

• A)firms hold inventories in order to produce more output.
• B)when sales are low, firms produce more than they sell and put the extra goods in inventories.
• C)firms hold inventories to avoid losing sales.
• D)when a product is only partly completed, its components are counted as part of the firm's inventory.

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Definitions:

Deviance

Actions or behaviors that violate societal norms or regulations, which can result in disapproval from the majority of society.

Consensus Crimes

These are offenses that are widely regarded by society as being morally unacceptable or reprehensible, such as murder or theft.

Homicide

The act of one human being killing another, either lawfully (such as self-defense) or unlawfully (murder or manslaughter).

Societies

Groups of individuals living together in organized communities with shared laws, traditions, and values.