Any Event That Causes Either the Demand Curve or the Supply

question 45

True/False

Any event that causes either the demand curve or the supply curve to shift will also change the equilibrium price and quantity.

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Definitions:

Operating Asset

Assets used in the day-to-day operations of a business to generate revenue, such as machinery, buildings, and equipment.

Plant Expansion

Plant expansion refers to the process of enlarging the capacity or physical size of a manufacturing facility to increase production capabilities, accommodate new machinery, or improve efficiency.

Return On Investment

A performance measure used to evaluate the efficiency or profitability of an investment or compare the efficiency of several different investments.

Setup Time

The duration required to prepare or set up equipment or processes for a manufacturing operation or production run.