1. Gumtree:

will be considered a market when the buyers can maximise their satisfaction.

can not be considered a market since a market has to be a physical one.

is a market since buyers and sellers are brought together to trade.

is not a market because buyers can buy from only one seller at any point in time.

2. All business organizations have at least three broad business processes: acquisition/payment, conversion, and sales/collection. Into which of these processes do each of the following activities belong? Explain your response

(a) Delivering a new product to a customer

(b) Hiring new employees

(c) Paying for a new capital tool

(d) Assembling sub-components for a finished product.

3. During the next hour, Tilak can choose one of the following three activities: dancing, gardening, or studying.  The opportunity cost of gardening:

is the value of dancing if Tilak prefers that to gardening.

is the value of studying if Tilak prefers that to dancing.

is the value of gardening if Tilak prefers dancing to gardening.

is the value of dancing plus the value of gardening.

4. Typically as the amount of an activity is increased, there will be a(n) _____________ in total benefit; and a(n) ____________ in marginal benefit.

decrease; increase

increase; decrease

increase; increase

decrease; decrease