The Figure Given Below Shows the Income-Leisure Trade Off of an Individual.Figure

question 77

Multiple Choice

The figure given below shows the income-leisure trade off of an individual.Figure 16.5
AB and AC: Income constraints of the individual
I₁, I₂, and I₃ curves show the income leisure choices of the individual.
-The concept of comparable worth:

• A)is that pay ought to be determined by job characteristics rather than by supply and demand.
• B)is that pay ought to be determined by supply and demand rather than by job characteristics.
• C)has made hiring practices much simpler for employers.
• D)asserts that market-determined wages are the only appropriate way in which to allocate pay.
• E)is easy to implement once a new worker has been hired.

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Definitions:

Intangible Asset

An asset that lacks physical substance but provides economic benefits to its owner, such as trademarks, patents, and goodwill.

Retained Earnings

Retained earnings refer to the portion of net income that is retained by the corporation rather than distributed to its shareholders as dividends, typically used for reinvestment in the business or to pay down debt.

Asset Category

Classifications for investments that exhibit similar characteristics, behave similarly in the marketplace, and are subject to the same laws and regulations.

Liquidity

The facility of making an asset cash without changing its market value.