If Two or More Companies Were to Link Their Intranet

question 29

Multiple Choice

If two or more companies were to link their intranet networks for the purpose of sharing information, then they would have a(n) ________.

• A) supply chain
• B) extranet
• C) ethernet
• D) internet

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Definitions:

Substitution Effect

The change in consumption patterns due to a change in the relative prices of goods, leading consumers to replace more expensive items with less expensive ones.

Interest-Rate Increase

A rise in the cost of borrowing money, reflected in a higher percentage charged on loans and credits.

Consumer Optimum

A state where a consumer has allocated their resources in such a way that maximizes their utility, given their budget constraint.

Income Effect

The change in consumption that results from changes in real income, affecting the purchasing power of consumers.