Which of the Following Is Most Likely to Occur When

question 16

Multiple Choice

Which of the following is most likely to occur when price is inelastic?

• A)A price decrease increases unit margin.
• B)A price decrease increases gross profit.
• C)A price increase reduces gross profit.
• D)A price decrease hurts sales.
• E)A price decrease reduces unit volume.

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Definitions:

Stakeholders

Individuals, groups, or organizations that have an interest or concern in a business or project and can be affected by its outcomes.

Ownership

The state or fact of exclusive rights and control over property, which can be an object, land/property, intellectual property, or business.

Organization Activities

Actions or engagements undertaken by a company or organization to accomplish its goals and mission.

Society Stakeholders

Individuals or groups that are impacted by or can impact the activities of a business, including customers, employees, investors, and the local community.