Collective Decision Making Costs _____

question 45

Multiple Choice

Collective decision making costs _____.

• A)decrease as we get closer to unanimity
• B)increase as more people have to agree
• C)are an impediment to individual action
• D)are the reason why simple majority rule is always optimal

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Definitions:

Accrual System

An accounting method where income and expenses are recorded when they are earned or incurred, regardless of when the cash transactions occur.

Expenses

The outflow of money to another person or company to pay for an item or service or for a category of costs.

Beginning Inventory

The valuation of inventory available for transaction at the start of an accounting timeframe.

Cost of Goods Sold

The financial outlays directly connected with creating the products a company sells, which entail materials and labor.