Which of the Following Increases the Supply of a Product

question 22

Multiple Choice

Which of the following increases the supply of a product?

• A) Some producers going bankrupt and leaving the industry.
• B) Lower prices for the resources used to produce the product.
• C) A decrease in productivity.
• D) An increase in the expected future price of the product.
• E) A higher price for the product.

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Definitions:

Cost Reduction

Refers to strategies and actions a company undertakes to decrease its total expenses and improve profitability.

Incremental Sales

The additional sales generated from a specific marketing campaign, promotional offer, or product launch, distinguishing these sales from the base level of sales.

Required Return

The minimum rate of return an investor expects to receive from an investment, considering the risk involved.