If the Demand Schedule for Bauxite Is Relatively Inelastic to Price

question 64

Multiple Choice

If the demand schedule for bauxite is relatively inelastic to price changes, an increase in the supply schedule of bauxite will cause a

• A) decrease in price and a decrease in sales revenue.
• B) decrease in price and an increase in sales revenue.
• C) increase in price and a decrease in sales revenue.
• D) increase in price and an increase in sales revenue.

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Definitions:

Software Development

The process of conceiving, specifying, designing, programming, documenting, testing, and bug fixing involved in creating and maintaining applications, frameworks, or other software components.

Intangible Assets

Assets that lack physical substance, such as patents, trademarks, and goodwill.

Physical Substance

The material form or physical presence of an asset, distinguishing tangible assets from intangible ones.

Market Forces

The natural dynamics of supply and demand that determine the prices and availability of goods and services in an economy without external influences.