If the Price of a Widget Increases from $40 to $50

question 7

Multiple Choice

If the price of a widget increases from $40 to $50 which of the following would be the expected result

• A)Total revenue will increase
• B)Total revenue will decrease
• C)Total revenue will initially increase but return to previous level
• D)Total revenue will not be affected

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Definitions:

Business Operation

The day-to-day activities involved in running a business, including production, marketing, and managing finances.

Terminated

Refers to the action of ending or concluding something, such as employment, contracts, or legal obligations.

Sole Proprietorships

A type of business owned and operated by one individual, where there is no legal distinction between the owner and the business.

Corporations

Legal entities that are separate and distinct from their owners, providing limited liability, easy transferability of shares, and perpetual existence.