Study Guide and Quiz Answers

If productivity increases significantly and demand is not very elastic, what is likely to happen?A.The number of consumers will increase.B.Fewer workers will be needed.C.Division of labor will decrease.D.Demand will increase.

A computer game that can be purchased online and played right away has good ________ utility.A.FormB.InformationC.ValueD.Time

A company's ________ tells you how much money the company has left over after subtracting all expenses.A.Net profitB.Gross profitC.RevenueD.Cost of goods sold

Your company buys a car, and its value goes down over time. What is that process called?A.LeasingB.DepreciationC.A unit of saleD.Interest

Which of the following is a way to increase possession utility for a refrigerator?A.Creating brochures about the productB.Providing a delivery serviceC.Expanding the store hoursD.Making a Web site with information about the product

Which of the following is a variable cost for a company that makes bread?A.The rent for a warehouseB.Bread ingredientsC.An ovenD.A salaried worker

If your company has a large production-related task, such as assembling an airplane, what strategy could help you increase productivity?A.GeneralizationB.Decreasing your use of technologyC.Raising pricesD.Division of labor

Which type of utility can only be added by the maker of the product?A.Place utilityB.Possession utilityC.Form utilityD.Time utility

___________ is the ability of a product to satisfy a customer.A.Economic utilityB.ValueC.Purchasing powerD.Outsourcing