Multiple Choice
Value is created when:
A) The price that the customer is willing to pay for a product exceeds the firm's direct cost of production
B) The surplus of value is distributed between customers and producers in the industry by the forces of competition
C) The value of a product to consumers is more than they paid for it.
D) The price that the customer is willing to pay for a product exceeds the firm's cost.
Correct Answer:

Verified
Correct Answer:
Verified
Q14: Perfect competition defines an industry structure where
Q15: "Consumer surplus" is:<br>A)The difference between the price
Q16: Understanding the structure of the industry helps
Q17: Formally scanning and analysing the external environment
Q18: A Even pure monopolies have substitutes
Q20: What should be the level of detail
Q21: To understand the effect of the external
Q22: How can one manage to study hundreds
Q23: The value to managers of understanding key
Q24: An industry's current profitability:<br>A)On its own tends