When Price Rises by 3 Percent and Quantity Demanded Changes

question 79

Multiple Choice

When price rises by 3 percent and quantity demanded changes by 6 percent,

• A)total revenue falls 3 percent.
• B)total revenue falls by half.
• C)total revenue doubles.
• D)total revenue does not change.
• E)total revenue increases 18 percent.

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Definitions:

General Partner

A type of owner in a partnership who has unlimited liability and is actively involved in the management of the business.

Entrepreneur

An individual who organizes and operates a business or businesses, taking on greater than normal financial risks in order to do so.

Entrepreneurs

Individuals who create, launch, and manage new businesses, often taking on considerable risk in the expectation of profit.

Bankruptcy

A legal process involving a person or business that is unable to repay outstanding debts, resulting in the distribution of assets to creditors.