Which of the Following Is NOT One of the Basic

question 21

Multiple Choice

Which of the following is NOT one of the basic questions that an economic system attempts to answer?

• A) How to identify what people need?
• B) What to produce?
• C) How will goods and services be produced?
• D) For whom will goods and services be produced?

---

Definitions:

Net Income

Net income is the total profit of a company after all expenses, taxes, and costs have been subtracted from total revenue.

Depreciation

The process of allocating the cost of a tangible asset over its useful life.

Net Income After Taxes

The profit a company retains after all operating expenses, interest, taxes, and preferred stock dividends have been deducted from total revenue.

Operating Costs

Operating costs are expenses associated with the maintenance and administration of a business on a day-to-day basis.