-The Data in the Above Table Indicate That When the Price

question 102

Multiple Choice

-The data in the above table indicate that when the price level is 120

• A) firms have unexpectedly low inventories, so prices will rise.
• B) inventories are at levels planned by firms.
• C) firms will plan to increase the level of output.
• D) firms have unexpectedly high inventories, so prices fall.

---

Definitions:

Proprietorship

A proprietorship, also known as a sole proprietorship, is a business owned and operated by a single individual, where there is no legal distinction between the owner and the business entity.

Legal Liability

Legal liability involves being responsible under law for a specific action or outcome, often related to damages or restitution.

Limited Liability Company

A company organization that blends the direct taxation features of a partnership or sole proprietorship with the protective limited liability characteristic of a corporation.

Service Business

A type of business that provides intangible products, such as expertise, experience, or access, rather than physical goods.