Which of the Following Will Cause the Demand Curve for a Normal

question 3

Multiple Choice

Which of the following will cause the demand curve for a normal good to shift to the right?

• A) a decrease in income
• B) an increase in the price of a complementary good
• C) a decrease in the price of the good
• D) an increase in the price of a substitute good
• E) an expectation that the price of the good will decline in the future

---

Definitions:

Fixed Assets

Long-term tangible assets used in the operations of a business and not expected to be converted to cash in the near term.

Times Interest Earned

Times Interest Earned is a financial ratio that measures a company's ability to meet its debt obligations based on its current earnings before interest and taxes (EBIT).

Days' Sales in Inventory

A financial metric that shows the average duration it takes for a company to turn its inventory into sales.

Car Dealerships

Businesses specialized in selling new or used cars, often also offering maintenance services and financing options.