The Determination of Prices in the Market for Automobiles Is

question 34

Multiple Choice

The determination of prices in the market for automobiles is primarily a concern of:

• A)​positive economics.
• B)​normative economics.
• C)​microeconomics.
• D)​macroeconomics.

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Definitions:

Budgeted Cash Disbursements

An estimate of all cash payments that a business plans to make over a specific period, including operating expenses, purchase of assets, and other payouts.

Variable Selling Expense

includes costs that vary directly with sales volume, such as commissions, shipping charges, and promotional expenses.

Direct Labor Wage Rate

The amount paid per hour or per unit of production to employees who directly manufacture or assemble products.

Raw Materials Cost

The total expense associated with the raw materials used in the production of goods or services.