All of the Following Except One Will Cause the Demand

question 149

Multiple Choice

All of the following except one will cause the demand for a normal product to increase.Which is the exception?

• A)The expectation by consumers that the future price will be higher.
• B)The fear of consumers of a future strike in the industry.
• C)An increase in the price of a complementary product.
• D)An increase in the price of a substitute product.
• E)An increase in consumer incomes.

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Definitions:

Credit Terms

The conditions under which a seller extends credit to a buyer, including payment deadlines, interest rates, and discounts for early payments.

Invoice Discount

A reduction in the billed price granted to customers, often used as an incentive for early payment.

Credit Terms

The agreement between a buyer and a seller that outlines the payment terms for goods or services, including the due date and any interest or penalties for late payment.

FOB Shipping Point

A term indicating that the buyer assumes responsibility for the goods and shipping costs once the goods leave the seller's premises.