When the Price of Chocolate-Covered Peanuts Decreases from $1

question 114

Multiple Choice

When the price of chocolate-covered peanuts decreases from $1.10 to $0.95,the quantity demanded increases from 190 bags to 215 bags.In this price range,the demand for chocolate covered peanuts is _____,and total revenue will _____ when price decreases.

• A)elastic;increase
• B)elastic;decrease
• C)inelastic;increase
• D)inelastic;decrease

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Definitions:

State Incorporation Statute

Laws established by individual states governing the process, requirements, and regulations for the incorporation of businesses within their jurisdiction.

Closely Held

Refers to a business that has a small number of shareholders, often family members, without public stock offerings.

Offer Stock

The process by which a corporation issues new shares of stock to potential buyers, typically to raise capital.

Incorporator

An individual or entity that is responsible for the creation and filing of a company's founding documents with the relevant state agency.