Figure 2-10 -Refer to Figure 2-10.In the Circular Flow Diagram,economic Agents M

question 154

Multiple Choice

Figure 2-10
-Refer to Figure 2-10.In the circular flow diagram,economic agents M represent

• A)households.
• B)product markets.
• C)firms.
• D)factor markets.

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Definitions:

Period Cost

Expenses that are not directly tied to the production process and are instead accounted for in the period they occur.

Product Cost

The total of costs directly assigned to the production of goods sold by a company, including materials, labor, and overhead.

Salespersons

Individuals who sell products or services for a company, often working on commission and responsible for generating revenue for the business.

Direct Materials Used

The raw materials directly utilized in manufacturing a product, which are a component of the cost of goods sold.