Sometimes a Rise of Only 10 Percent in Consumer Demand

question 126

Multiple Choice

Sometimes a rise of only 10 percent in consumer demand can cause as much as a 200 percent rise in business demand for products for the next period. This is an example of ________.

• A) inelastic demand
• B) direct purchasing
• C) fluctuating demand
• D) derived demand
• E) a straight rebuy

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Definitions:

Security Agreement

A legal document that provides a lender a security interest in specified assets of the borrower as collateral for a loan.

Filing

The process of submitting documents to a specified authority or organization for official review or record-keeping.

Perfects

The process of securing a legal interest or claim in collateral or property, often used in finance and legal contexts to ensure rights are enforceable.

Financing Statement

A document filed by a creditor to indicate a security interest in the debtor’s assets, used to perfect a lien.