If Demand Decreases and Supply Increases, Then the

question 79

Multiple Choice

If demand decreases and supply increases, then the

• A)effect on both equilibrium price and quantity is unknown.
• B)equilibrium price rises, but the effect on the equilibrium quantity is unknown.
• C)equilibrium quantity decreases, but the effect on the equilibrium price is unknown.
• D)equilibrium quantity increases, but the effect on the equilibrium price is unknown.
• E)equilibrium price falls, but the effect on the equilibrium quantity is unknown.

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Definitions:

Postretirement Benefits

Benefits, such as healthcare and life insurance, provided by employers to their employees after they retire.

Accumulated Postretirement Benefit Obligation

This term refers to the total expected cost of providing postretirement benefits to employees, minus any funds set aside to cover these costs.

Unrecognized Prior Service Cost

Costs arising from retroactive benefits granted in a pension plan amendment, not immediately recognized as pension expense in financial statements.

Straight-Line Method

A depreciation method that allocates an equal amount of depreciation each year over the asset's useful life.