In Which Statement(s) Are "Demand" and "Quantity Demanded" Used Correctly

question 309

Multiple Choice

In which statement(s) are "demand" and "quantity demanded" used correctly? (I) "An increase in the price of tea will reduce the quantity demanded of tea."
(II) "An increase in the price of tea will reduce the demand for sugar used in tea."

• A) in both statements I and II
• B) in statement I only
• C) in statement II only
• D) in neither statements I nor II

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Definitions:

Rises

Moves upwards or increases in value or intensity.

Horizontal

Refers to something that is parallel to the ground or the horizon.

Depreciated Value

The value of an asset after accounting for depreciation, which is the reduction in value over time due to wear and tear, age, or obsolescence.

Delivery Van

A vehicle specifically designed and used for transporting goods rather than passengers.