Which One of the Following Would Lead to an Increase

question 70

Multiple Choice

Which one of the following would lead to an increase in the demand for hamburgers?

• A)a new fad hamburger diet
• B)a decrease in population
• C)a rise in the price of French fries,a complement of hamburgers
• D)a decrease in consumer income if hamburgers are a normal good
• E)a news report that hamburgers can cause skin diseases

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Definitions:

Capital Budgeting

The process of evaluating and selecting long-term investments that are in line with a company's goal of maximizing shareholder value.

Project Cash Flow

The net amount of cash and cash-equivalents being transferred into and out of a project, reflecting its operational activity and financial health.

Opportunity Costs

The cost of foregoing the next best alternative when making a decision.

Cash Inflows

This term refers to the money coming into a business from its operational, financing, and investing activities.