A Mother Notices That When She Divides Brownies Equally Between

question 169

Multiple Choice

A mother notices that when she divides brownies equally between her two children and gives each child her share on a separate plate,the brownies last a long time.But when she gives her children a plate to share,the brownies are gone pretty quickly.The mother concludes from this that brownies given on a single plate are

• A) excludable but they might either be rival or nonrival.
• B) nonexcludable and nonrival.
• C) excludable and rival.
• D) excludable and nonrival.
• E) nonexcludable and rival.

---

Definitions:

Equity-Financed

Funded through the sale of owner's shares, rather than borrowing or accumulating debt.

Synergy Value

The added value created by combining two companies where the performance of the combined entity is greater than the sum of the separate individual parts.

Acquisition

The process of taking control of another company by purchase or merger.

Outstanding Stock

Shares of a company that are owned by investors, including both public investors and company officers.