The Price of an Airline Ticket Rises as the Amount

question 220

Multiple Choice

The price of an airline ticket rises as the amount of time between purchase and flight departure gets smaller.The airlines base the policy on the assumption that

• A)consumers are not aware of airline prices.
• B)consumer demand is unrelated to prices.
• C)consumer demand becomes more elastic as departure time approaches.
• D)consumer demand becomes less elastic as departure time approaches.

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Definitions:

Total Assets

The sum of all current and non-current assets owned by a company, showing the total resources available for use.

Component

A part or element of a larger system, product, or set of operations that contributes to the overall function.

Entity

A broad term that can refer to any individual, company, organization, or institution that has a separate legal existence.

Major Line Of Business

The primary area or category of product or service offering that generates the most revenue for a company.