Costs that must be paid regardless of how much of a good or service is produced.
What is fixed costs or sunk costs?
100
The cost of choosing one opportunity or investment over another.
What is an opportunity cost?
100
How much of a good or service a producer is willing to produce at a certain price.
What is supply?
100
The primary reason a business exists in a market economy.
What is to create products or service for consumers and to make a profit?
100
The 3 ways government has an effect on what is produced in a market economy
What are Purchases, taxes, and subsidies.
200
Costs that go up and down depending on the quantity of the good or service produced.
What are variable costs.
200
This measures the advantages of producing just one additional unity of a good or service.
What is the marginal benefit?
200
An individual's desire for a product or service at a certain price.
What is demand?
200
Production, Marketing, Management, and Finance
What are functions of business?
200
Payments the government makes to producers of certain kinds of goods.
What are subsidies?
300
Monthly rent payments.
What is an example of a fixed cost?
300
This measures the disadvantages of producing just one additional unit of a good or service.
What is the marginal cost?
300
The price at which the supply meets the demand of a product or service.
What is the equilibrium price and quantity (or equilibrium).
300
The function of business that creates or obtains products or services for sale.
What is production?
300
The term for a good where everyone receives benefits, not just an individual consuming the good.
What is a public good?
400
The cost of ingredients to make cookies to sell to your bakery customers
What is an example of a variable cost?
400
The percent that is the basis for interest earned or paid.
What is the rate of interest?
400
A type of economy where the government determines what, how, and for whom products and services are produced.
What is a command economy?
400
The function of business that ensures that the products and services are available to consumers, and to attract as many customers as possible.
What is the marketing function?
400
Two ways the government regulates certain businesses.
What are inspections and licenses?
500
The cost of fuel for your pizza delivery car.
What is an example of a variable cost?
500
The function of business that has the responsibility of determining the amount of capital (money) is needed for the business and where the capital will come from.
What is the finance function?
500
A type of economy where individual consumers decide what, how, and for whom goods and services are produced.
What is a market economy?
500
The function of business that solves problems, manages employees, and evaluates the activities of the business.
What is the management function?
500
When the government determines people with higher incomes are required to pay more in taxes than people with lower incomes they are doing this.