Which Statement Regarding Special Items Is FALSE

question 94

Multiple Choice

Which statement regarding special items is FALSE?

• A) just enough of the item is ordered or processed to cover the latest customer request
• B) less likely than a standard item to have finished goods inventory
• C) more likely than a standard item to have finished goods inventory
• D) an item that is made to order or, if purchased, bought to order

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Definitions:

Relatively Inelastic

A situation where a change in the price of a good or service causes a comparatively smaller change in the quantity demanded or supplied.

Necessities

Goods and services that are essential for survival, such as food, shelter, and healthcare, often characterized by inelastic demand.

Luxuries

Goods or services that are considered non-essential but are desired for their ability to provide comfort, convenience, or pleasure.

Elasticity Of Supply

A measure of how much the quantity supplied of a good responds to a change in the price of that good.