The More Elastic the Supply and the Demand Curves Are

question 12

Multiple Choice

The more elastic the supply and the demand curves are, the:

• A) smaller the shortage a price ceiling will create.
• B) greater the shortage a price ceiling will create.
• C) smaller the surplus a price ceiling will create.
• D) greater the surplus a price ceiling will create.

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Definitions:

Petty Cash Fund

A small amount of cash kept on hand for minor, incidental expenses of a business.

Journal Entries

Records of financial transactions in the accounting system, ensuring every movement of funds is documented.

Office Supplies

Items and materials used in offices for daily operations, including paper, pens, and other stationery.

Miscellaneous Expense

General ledger accounts for expenses that are not sufficiently large or regular enough to be allocated to specific expense categories.