According to the Text,the 80/20 Rule Suggests That

question 20

Multiple Choice

According to the text,the 80/20 rule suggests that

• A) 80 percent of profits come from 20 percent of business customers.
• B) 20 percent of profits come from 80 percent of business customers.
• C) 20 percent of profits come from 80 percent of customers.
• D) 80 percent of profits come from 20 percent of customers.
• E) 80 percent of profits come from 20 percent of sales.

Recognize the historical shifts and trends in U.S. trade balances and their causes.

Evaluate the arguments for and against tariffs, quotas, and free trade policies.

Identify the role of multinational companies in the global trade network.

Discern the economic effects of trade deficits and surpluses.

---

Definitions:

Absorption Costing

A costing method that integrates all expenses related to the manufacturing process, including direct materials, direct labor, and overhead costs, both variable and fixed, into the final product cost.

Required Rate

Often refers to the minimum expected rate of return on an investment, taking into account the risk level.

Markup

The amount added to the cost of a product to cover expenses and profit, resulting in the selling price.

Absorption Costing

By adopting this accounting model, all manufacturing costs including direct materials, direct labor, and both variable and fixed overheads, are rolled into the product’s cost.