In Moving Down Along a Demand Curve, Total Revenue

question 132

Multiple Choice

In moving down along a demand curve, total revenue

• A)stays constant.
• B)increases.
• C)may increase, decrease, or stay constant.
• D)decreases.
• E)is always equal to zero.

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Definitions:

Current Market Price

The price at which an asset or security is traded in the market at the present moment.

Current Liabilities

Obligations or debts of a company that need to be settled with creditors within a twelve-month period.

Twelve Months

A period of one year, often used in financial statements to provide a snapshot of a company's performance.

Descending Order of Liquidity

Ranking assets on a balance sheet from the most liquid (easily converted into cash) to the least liquid.