Question

A startup company produces luxury furniture. It purchases wood from a local

lumber mill and turns the wood into tables, chairs, and desks. Once the
furniture is finished, trucks take it to a local mall where it is sold at a specialty
store. Customers come from all over the state to buy new pieces of furniture
that arrive each month.
Which element of the story represents a product market in the circular flow
model?
OA. The lumber mill
OB. The furniture company
OC. The specialty store in the mall
OD. The customers who shop at the mall

Answer 1

Answer:OC. The specialty store in the mall represents a product market in the circular flow model. In this scenario, the luxury furniture produced by the startup company is sold at the specialty store, where customers from all over the state come to purchase the furniture. The specialty store acts as the intermediary between the furniture company and the customers, facilitating the exchange of the product in the market.

Step-by-step explanation:

Answer 2

OC. The specialty store in the mall.

Step-by-step explanation:

OC. The specialty store in the mall.