An Increase in Demand and a Decrease in Supply Occur

question 45

Multiple Choice

An increase in demand and a decrease in supply occur in a market. What happens to the equilibrium price and quantity?

• A) The equilibrium price decreases; the change in the equilibrium quantity is ambiguous.
• B) The equilibrium price decreases; the equilibrium quantity increases.
• C) The equilibrium price increases; the change in the equilibrium quantity is ambiguous.
• D) The equilibrium price increases; the equilibrium quantity decreases.

Understand the accounting and disclosure requirements for property dividends, including fair value measurements.

Understand the concept of stock dividends and stock splits and their impact on shares outstanding.

Analyze the effects of various transactions on total stockholders' equity.

Identify and compute basic and diluted earnings per share (EPS).

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Definitions:

Imperialistic Interests

Motivations or actions by a state or nation to extend its influence and control over other territories, often for economic or strategic reasons.

Soviet Russia

The government and nation established across the Russian Empire after the Bolshevik Revolution of 1917, which later became the largest constituent of the Soviet Union.

Archaeological Recovery

Archaeological recovery involves the systematic retrieval of material evidence from the past, including artifacts, features, and ecofacts, from sites to study human history and prehistory.

Middle East

A geopolitical region centered around Western Asia and Egypt, noted for its cultural, religious, and strategic importance.