A Decrease in Demand for a Normal Good Could Be

question 162

Multiple Choice

A decrease in demand for a normal good could be caused by a(n)

• A) increase in price
• B) decrease in price
• C) decrease in consumer incomes
• D) increase in consumer incomes
• E) increase in production costs

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Definitions:

Tax Rate

The percentage at which an individual or corporation is taxed, which can vary depending on the income or profit levels.

Intra-entity Transactions

Transactions that take place between two divisions or units within the same company, affecting only internal accounts.

Accrual-based Income

A method of accounting that records revenue when it is earned and expenses when they are incurred, regardless of when cash is received or paid.

Tax Rate

The percentage at which an individual or corporation is taxed by the government.