Which of the Following Objectives of a Business Is the Most

question 174

Multiple Choice

Which of the following objectives of a business is the most important?

• A) To engage in some specific business activity which will perform a socially and economically useful function.
• B) To develop an organization to carry on the business and implement its strategies.
• C) To earn enough profit to survive.
• D) All three of these objectives are equally important, because a failure in any one could lead to a total failure of the business.

---

Definitions:

Aggregate Demand

The comprehensive need for products and services within an economy at a specified price range and time span.

Aggregate Supply

The complete amount of products and services that businesses within a country's economy intend to sell over a certain period.

Long Run Aggregate Supply

Long run aggregate supply represents the total output of goods and services that an economy can produce when both labor and capital are fully employed, at their most efficient levels.

Expected Price Level

The forecasted average price across all goods and services in an economy, reflecting the expected general price environment.