When a firm's demand fluctuates randomly,
A) no profit can be earned on the inventory.
B) the optimal inventory maximizes the profit of the inventory.
C) the profit-maximizing inventory is found where the expected marginal benefit exceeds the expected marginal cost.
D) managers cannot use marginal analysis to determine the optimal inventory.
B) the optimal inventory maximizes the profit of the inventory.
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The unemployment rate is the number of unemployed people
A) divided by the sum of the number of people who are working and the number of people who are looking for work. B) and the number of people working fewer than their desired number of hours, divided by the number of people who are working or looking for work. C) divided by the total working-age population. D) divided by the number of people who are working.
Refer to Scenario 14.1. Marco's dominant strategy will give him a net benefit of
A) $45. B) $75. C) $120. D) $150.