The Demand for Consumer Goods Often Affects the Demand for Business

question 105

Multiple Choice

The demand for consumer goods often affects the demand for business products.This characteristic of business markets is called _____ demand.

• A) elastic
• B) inelastic
• C) fluctuating
• D) derived
• E) joint

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Definitions:

Net Income

The total profit of a company after all expenses, taxes, and costs have been subtracted from total revenue; a key indicator of financial health.

Dividends

Profits distributed by a corporation to its share owners, regularly as a monetary payment.

Equity Method

An accounting technique used to assess the profits earned by investments in other companies, recognizing income based on the investor's share of the earnings.

Amortizations

The act of spreading out loan payments over a period of time, including both the principal and the interest.