When Demand Is Perfectly Inelastic,the Demand Curve Is

question 121

Multiple Choice

When demand is perfectly inelastic,the demand curve is

• A) horizontal.
• B) vertical.
• C) upward sloping.
• D) downward sloping.
• E) U-shaped.

---

Definitions:

Cash Flows From Operations

The net amount of cash generated or used by a company in its operational activities during a specific period.

Deferred Income Taxes

Represents taxes that are owed but not yet paid, due to differences in the timing of recognition of revenue and expenses for tax reporting and financial accounting purposes.

Income Taxes Payable

The sum of income tax that a company is liable to the government but remains unpaid.

Income Tax Expense

The total amount of income tax that a company expects to pay in a given fiscal period, appearing on the income statement.