Which of the Following Could Cause an Increase in the Demand

question 7

Multiple Choice

Which of the following could cause an increase in the demand for gasoline?

• A) the resolution of a civil war in one of the world's biggest oil-producing nations
• B) the expectation that the price of gasoline will decrease in the future
• C) a new technology that makes the production of gasoline significantly less expensive
• D) an approaching hurricane that threatens a major oil refinery in Texas

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Definitions:

Passengers

Individuals who utilize transportation services such as buses, trains, airlines, or other modes of transit.

Spending Variance

The difference between the budgeted or standardized cost of an activity and the actual cost incurred.

Customers Served

The number of clients or consumers that have been provided services or goods by a business.

Flexible Budget Performance Report

A report that compares actual performance against budgeted figures that are adjusted (flexed) for the actual level of output or revenue.