Which of the Following Situations Would Cause the Demand Curve

question 68

Multiple Choice

Which of the following situations would cause the demand curve to shift to the right?

• A) a decrease in the number of consumers
• B) a decrease in the number of producers
• C) an increase in the price of a complement
• D) an increase in the price of a substitute
• E) a change in tastes and preferences

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Definitions:

Product Costs

The costs incurred by a business to manufacture a product, including direct materials, direct labor, and manufacturing overhead.

Variable Cost

Costs that vary directly with the level of production or output, including materials and labor expenses.

Incremental Manufacturing Cost

Additional costs incurred for manufacturing one more unit of a product.

Financial Reporting

The communication of financial information, such as balance sheets and income statements, to stakeholders to help in decision-making.