Assuming that the MR Corporation has an inventory of 200 defective motors costing $450,000 to produce and $150,000 to repair, the repaired units can be sold for $425,000.The company receives an offer to purchase these motors for $325,000 before repairing them. The company's decision should be to sell the motors at the offered price. The $450,000 production costs are sunk costs and therefore irrelevant to the decision. Net proceed from the sale of repaired units is $275,000 (Proceeds from sale of reworked units $425,000 - relevant costs for repair $150,000)compared to the offer to purchase for $325,000.Since the offer price is more than the net proceed from the sale of repaired units, the decision should be to sell the motors at the offered price.

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know

fractionally backed paper money

fiat money

paper money

metallic money

answer; windows embedded;