Suppose the Price of Good X Increases from $3

question 111

Multiple Choice

Suppose the price of good X increases from $3.00 to $4.00 while the price of good Y increases from $150 to $200.The relative price of X (in terms of Y)

• A)has fallen.
• B)has risen.
• C)remained constant.
• D)cannot be determined from the above data.
• E)is completely unrelated to the price of good Y.

---

Definitions:

Average Inventory

The mean amount of stock held by a company over a certain period, used to manage inventory levels efficiently.

Sales

The activities involved in selling goods or services to customers.

Debt Ratio

A financial ratio that measures the extent of a company's leverage, calculated by dividing its total liabilities by its total assets.

Land and Building

Real estate assets, including both the ground itself and any structures on it, considered key components of property investment and valuation.