Saccharin and Aspartame Are Both Low-Calorie Substitutes for Sugar

question 83

Multiple Choice

Saccharin and aspartame are both low-calorie substitutes for sugar. If saccharin is found to cause cancer,

• A) the price of aspartame will increase.
• B) the price of sugar will decrease.
• C) the price of saccharin will increase.
• D) the demand curves for aspartame and sugar will shift leftward.
• E) aspartame and sugar will be complements.

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Definitions:

Operating Activities

Transactions and other events related to the core business operations, including revenue and expense activities that affect the net income.

Inventory Increases

A rise in the amount of goods and materials on hand, often indicative of increased production or decreased sales.

Cost of Goods Sold

Represents the direct costs attributable to the production of the goods sold by a company, including material, labor, and overhead costs.

Ending Inventory

The value of goods available for sale at the end of an accounting period, calculated as beginning inventory plus purchases minus cost of goods sold.