Business Pressures on Organizations Are Created When There Are Changes

question 99

Multiple Choice

Business pressures on organizations are created when there are changes in

• A) Social factors
• B) Economic factors
• C) Legal factors
• D) Political factors
• E) Changes in all of the above will create business pressures.

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Definitions:

Economic Profit

The difference between the total revenue received by a business and the total implicit and explicit costs of a business.

ATC

Average Total Cost, which is the sum of all production costs divided by the quantity of output produced.

Economic Profits

Profits exceeding the opportunity costs of a company; considered an indicator of efficiency and entrepreneurship.

Average Total Cost

The total cost of production divided by the total quantity of goods produced, representing the cost per unit.