Once You've Forecasted the Demand for a Product,you Can Calculate

question 97

Multiple Choice

Once you've forecasted the demand for a product,you can calculate the _____ requirements of your production facility.

• A)budget
• B)capacity
• C)personnel
• D)capital

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Definitions:

Explicit Costs

Direct, out-of-pocket payments made for the operation of a business, such as wages, rent, and materials.

Accounting Profits

The difference between total revenues and explicit costs, representing the net income reported on a company's financial statements.

Economic Profits

The difference between a firm's total revenues and its total costs, including both explicit and implicit costs.