If Demand Is Elastic,then

question 97

Multiple Choice

If demand is elastic,then

• A)The elasticity number E is greater than 1.
• B)The elasticity number E is less than 1.
• C)The elasticity number E is equal to 1.
• D)The elasticity number E is 0.

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Definitions:

Sales

The total revenue generated from the sale of goods or services over a specific period.

Revenue Account

An account that tracks the income earned from normal business operations, such as sales of goods or services.

Sales Tax Payable

A liability account in a company's financial statements, representing sales tax collected from customers but not yet remitted to the government.

Sale

The exchange of a product or service for money, constituting the main operational activity for most businesses.