Mr. Johnson earns $100,000 per year. Each year he spends $70,000 and saves $30,000. He pays a 5 percent sales tax on all of his spending. Assuming this is the only tax he pays, his average tax rate out of his income is:
3.5 percent.
2.5 percent.
1.5 percent.
5.0 percent.

Effective capacity is the: a. capacity a firm expects to achieve given the current operating constraints. b. minimum usable capacity of a particular facility. c. sum of all the organization's inputs. d. average output that can be achieved under ideal conditions. e. maximum output of a system in a given period.

Mr. drucker uses a periodic review system to manage the inventory in his dry goods store. he likes to maintain 15 sacks of sugar on his shelves based on the annual demand figure of 225 sacks. it costs $2 to place an order for sugar and costs $1 to hold a sack in inventory for a year. mr. drucker checks inventory one day and notes that he is down to 9 sacks; how much should he order?

Which statement defines the term price ?