1. A consumer's incentive to purchase is equal to:

A. true economic value (TEV) minus cost of goods sold

B. perceived value (PV) minus price

C. true economic value minus product price

D. product price minus cost of goods sold

E. revenue minus product cost

2. which one is true about economies of scope

A. It is more a modern concept than economics of scale

B. It is more about bulk production

C. it is applied to one product

D. cost reduction by standardization

E. total cost reduction beyond the certain point of production

6. Which one is the case that cannot lead to price decrease

A. producing substitutes

B. producing large amount of one product

C. producing two products having linked cost

D. producing product sharing the same operation

E. producing complements