Question

Which of these statements explains the term price? A) The money spent by a seller to advertise a product B) The money spent by a manufacturer to make a product C) The money spent by a buyer to purchase a product.

Answer 1

The statement that would explain the term price is C) The money spent by a buyer to purchase a product. This translates to revenue in terms of the manufacturer. The money spent by a manufacturer to make aproduct are called the fixed cost and the variable cost. the answer is C.

Answer 2

I believe the answer is: C) The money spent by a buyer to purchase a product.

For example, you are buyer who wanted to obtain a t-shirt. When you walk into the store, you see a really good t-shirt with a $5 price tag.
This means that in order to purchase/obtain the product you need to spent $5 worth of money for the store owner.