As a Result of a Shortage

question 52

Multiple Choice

As a result of a shortage,

• A)Consumers increase demand for the product.
• B)Producers reduce supply.
• C)Producers increase output and raise price.
• D)Government purchases decrease.

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Definitions:

Operating Profit

Earnings from a company's core business operations, excluding deductions of interest and taxes.

Trade Discount

A reduction in the retail price of goods, offered by wholesalers or manufacturers to retailers.

Discount

The reduction applied to the price of goods, services, or securities, or the amount by which the market value of a bond falls below its par value.

Golf Club Sets

A collection of golf clubs, typically including a variety of woods, irons, and a putter, used to play golf.