Which of the Following Is an Example of Market "Production

question 281

Multiple Choice

Which of the following is an example of market "production," as used by economists?

• A)Garvey takes out a low-cost government loan to start his pet-sitting business.
• B)Heidi makes a pizza for her family's dinner.
• C)Katrina works as a cashier at the local produce stand.
• D)The theatre and film studies department in Fine Art's College stages a play at the local theatre.

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Definitions:

Flotation Costs

The administrative cost of issuing new securities. Consists largely of commissions and marketing fees, but printing and engraving costs can also be significant.

Retained Earnings

The portion of a company's profits that is kept or retained rather than paid out as dividends to shareholders.

Flotation Costs

Expenses incurred by a company in issuing new securities, including underwriting, legal, and registration fees.

Capital Gains

The profit earned from the sale of assets or investments when the selling price exceeds the purchase price.