Related to the Economics in Practice on P

question 99

Multiple Choice

Related to the Economics in Practice on p.28: How did the introduction of the microwave in 1960 affect the market for frozen food?

• A)It encouraged people to leave the work force by making cooking easier and less time-consuming.
• B)It reduced the opportunity cost of eating frozen food by decreasing the amount of time required to prepare frozen meals.
• C)It increased the financial cost of alternative methods of food preparation,such as conventional ovens.
• D)It made frozen foods more appealing by increasing the variety of meals that could be frozen and reheated.

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Definitions:

Use Of Assets

This involves the effective and efficient employment of a company's resources to maximize profitability and productivity.

Profit Margin

A financial performance metric that shows the percentage of revenue that exceeds the cost of goods sold, indicating the efficiency of a company in generating profits.

Operating Income

The profit realized from a business's core operations, calculated by subtracting operating expenses from gross profit.

Profit Margin

A financial metric indicating the percentage of revenue that remains as profit after deducting expenses.