Empty Nesters

question 122

Multiple Choice

Empty nesters

• A) are usually in the 30-44 age group.
• B) are not an attractive market for any items.
• C) spend a larger percent of their income on housing, child care, and other necessities.
• D) are people whose children are grown and who are now able to spend their money in other ways.
• E) disrupt the family life-cycle pattern.

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Definitions:

Marginal Revenue

The incremental revenue acquired by a business upon selling one more unit of a good or service.

Average Variable Cost

The total variable costs divided by the quantity of output produced, indicating the average amount spent on variable costs per unit of output.

Variable Costs

Expenses that fluctuate in direct proportion to changes in production volume or activity levels, including costs like raw materials and direct labor.

Cost Curves

Graphical representations that show how the cost of producing goods changes with changes in the quantity of production.