-When the Average Product Is at Its Maximum

question 97

Multiple Choice

-When the average product is at its maximum,

• A) the marginal product is increasing as output increases.
• B) the marginal product is negative.
• C) it is equal to the marginal product.
• D) total product is also at its maximum.
• E) total product is at its minimum.

Comprehend the role and implications of exclusive licenses and distributorships in business.

Understand the concept of raising capital in corporate structures and the implications of corporate stock.

Understand the concept of vicarious liability and its application in franchise relationships.

Identify the characteristics and benefits of S corporations including their tax advantages.

---

Definitions:

Rents

Payments made periodically by a tenant to a landlord in exchange for the use of land, a building, or other property.

Supply of Loanable Funds

The total amount of funds that lenders are willing to loan at a given interest rate in an economy.

Elastic

Describes a situation in economics where the quantity demanded or supplied of a good changes significantly in response to changes in its price.

Demand for Land

The desire or need by individuals or businesses to purchase or lease land for various uses such as agriculture, commercial, or residential purposes.