The Normal Rate of Return Is the

question 166

Multiple Choice

The normal rate of return is the

• A) average rate of return earned in an industry at a given point in time.
• B) opportunity cost of capital.
• C) return on capital associated with zero accounting profits.
• D) the amount paid to an investor when the firm is an on-going concern.

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Definitions:

Teamsters

A member of a labor union in North America primarily representing workers in the transport and freight industries.

Product Market

The marketplace in which final goods or services are offered to consumers, businesses, and the public sector.

Nonunion Labor

Refers to workers who are not members of a labor union and therefore typically do not have the collective bargaining protections and benefits that unionized workers have.

Nonunion Firms

Companies where the workforce is not represented by a labor union.