An Increase in Supply Causes

question 292

Multiple Choice

An increase in supply causes

• A) quantity supplied to decrease.
• B) supply and price to increase.
• C) price to decrease.
• D) price to increase.

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Definitions:

Dependent Demand

The demand for a product or component that is directly reliant on the demand for another product or assembly within the same production process.

Customer Preferences

This term refers to the tastes, choices, or selections that consumers make regarding products, services, or suppliers.

Components

Individual parts or elements that make up a larger system, machine, or assembly.

Aggregate Plan

A plan that includes forecast levels for families of products of finished goods, inventory, shortages, and changes in the workforce.