When the Price Ceilings on Oil and Gas Were Lifted

question 82

Multiple Choice

When the price ceilings on oil and gas were lifted in January 1981:
I. the price of oil rose immediately.
II. the price of oil continued to rise more than 2 years after the controls were eliminated.
III. higher prices gave an incentive to suppliers to increase supply, thus leading eventually to lower prices.

• A) I only
• B) I and II only
• C) I and III only
• D) I, II, and III

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Source of Cash

Any activity or operation within a business that generates cash, including operations, financing, and investing activities.

Accounts Receivable Period

The average number of days that it takes for a company to collect payments owed by its customers after a sale has been made.

Early Payment Discount

An incentive offered by a seller to a buyer for paying a bill before the due date.

Grants Credit

The offering of deferred payment terms or a line of credit to a buyer for the purchase of goods or services.