Rationing by long lines isa.inefficient, because it wastes buyers’ time.b.only necessary if price ceilings are not binding.c.efficient, because those who are willing to wait the longest get the goods.d.the only way scarce goods can be rationed.

------------------- is the type of ratio ratios give or bring out comparative facts

1 In which one of these situations would the price mechanism allocate moreresources to the production of a particular good?A An increase in VATB A decrease in the price of a substituteC A shortage of raw materialsD Introduction of more efficient production methods (1 mark)2 In which one of these situations would the price mechanism allocate fewerresources to the production of a particular good?A A successful advertising campaignB Increasing consumer wealthC An increase in the price of a complementD A government subsidy on the good (1 mark)3 Explain the ‘rationing’ function of price. (5 marks)4 Explain the ‘incentive’ function of price. (5 marks)5 Explain the ‘signalling’ function of price. (4 marks)6 With the help of a diagram, explain how the price mechanism resolves thebasic economic problem. (9 marks)

Name any two types of ratios that are used in the business

Fill in the Blank QuestionFill in the blank question. ratios measure how effectively a firm is using its various resources to achieve profits.

Multiple Choice QuestionWhat type of ratio measures the speed with which a company can turn its assets into cash in order to meet its debts?Multiple choice question.Profitability ratioDebt utilization ratioLiquidity ratioLeverage ratio