Question

Scarcity means resources are limited, and opportunity cost is what is given up when making a choice. Select THREE choices that show how these concepts affect an entrepreneur's decisions.

(Select the three correct answers.)

(1 point)
Responses

Filing the required tax documents for the business before the deadline.
Filing the required tax documents for the business before the deadline.

Using a limited budget to hire one skilled worker over two unskilled ones.
Using a limited budget to hire one skilled worker over two unskilled ones.

Following all government safety regulations to protect the company's employees.
Following all government safety regulations to protect the company's employees.

Choosing to invest company funds in marketing instead of new equipment.
Choosing to invest company funds in marketing instead of new equipment.

Setting the price of a new product much higher than all competitors.
Setting the price of a new product much higher than all competitors.

Deciding to start a new tech company instead of buying a restaurant.
Deciding to start a new tech company instead of buying a restaurant.

Answer 1

Correct answers:
- Using a limited budget to hire one skilled worker over two unskilled ones.
- Choosing to invest company funds in marketing instead of new equipment.
- Deciding to start a new tech company instead of buying a restaurant.

Each of these shows scarcity (limited resources like money or time) and opportunity cost (what is given up when one option is chosen).