This Term Considers Whether the Organization Had an Operating Surplus

question 20

Multiple Choice

This term considers whether the organization had an operating surplus, broke even, or operated at a loss.

• A) Solvency
• B) Liquidity
• C) Profitability
• D) Integrity

---

Definitions:

Budget Constraint

A budget constraint outlines the mix of goods and services a consumer is able to buy, based on their income and the prices of those goods and services.

Budget Constraint

A budget constraint represents the combination of goods and services that a consumer can purchase given their income and the prices of those goods and services.

Marginal Utility

The incremental enjoyment or value obtained from consuming an extra unit of a good or service.

Income-Consumption Curve

A graph that shows how a consumer's optimal bundle of goods changes as their income changes, all else being constant.