Which of these activities will most likely result in an external benefit?

A) A college student buys a deck of cards to play solitaire in her dorm room.
B) An elderly woman plants a flower garden on the vacant lot next to her house.
C) An executive purchases a book to read on a business trip.
D) A ten-year-old uses his allowance to buy new Nike shoes.

Which inefficiency is NOT caused by price floors?

A) inefficiently low quality
B) inefficient allocation of sales among sellers
C) wasted resources
D) illegal activity

The amount by which total utility _____ when an additional unit of a good is consumed is _____.

A) changes;average utility
B) increases;the income effect
C) decreases;maximum utility
D) changes;marginal utility

Describing your organization's qualifications in a formal proposal is

A) considered arrogant and should be avoided.
B) appropriate,but only in the introduction.
C) an essential part of the body section of the proposal.
D) a good idea only when your recommendations are controversial.
E) necessary only when you have not worked with the reader in the past.

The takeoff stage of small business growth is the stage that all business owners should aspire to reach rapidly and maintain indefinitely.

Bad Debts Expense is considered

A) an avoidable cost in doing business on a credit basis.
B) an internal control weakness.
C) a necessary risk of doing business on a credit basis.
D) avoidable unless there is a recession.