Which of the Following Statements Is Correct

question 57

Multiple Choice

Which of the following statements is correct?

• A) The quantity of goods bought in a market has to be equal to the quantity of goods sold.
• B) For a market to be in equilibrium, the number of buyers needs to be equal to the number
• C) At the equilibrium price, sellers bene?t more from trade than buyers.
• D) The demand curve and supply curve intersect at all the different equilibrium points.

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Definitions:

Cash Flows

The movement of money into and out of a business, used to assess the company's liquidity, financial health, and profitability over time.

Net Income

The total profit of a company after all expenses, including taxes and interest, have been deducted from total revenue; also known as net earnings or net profit.

Net Present Value

A method used in capital budgeting to evaluate the profitability of an investment by calculating the difference between the present value of cash inflows and outflows.

Internal Rate of Return

A metric used in capital budgeting to estimate the profitability of potential investments, calculated as the discount rate that makes the net present value of all cash flows from a particular project equal to zero.