Which of the Following Would Reduce the Supply of Tennis

question 542

Multiple Choice

Which of the following would reduce the supply of tennis shoes?

• A) an increase in the demand for tennis shoes
• B) a new tax imposed on the producers of tennis shoes
• C) a reduction in the price of leather used to make tennis shoes
• D) all of the above

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Definitions:

Matching Principle

An accounting principle that dictates expenses should be recorded in the same period as the revenues they helped to generate.

Manipulation

Manipulation in financial contexts refers to unethical or illegal actions to misleadingly influence market prices, company performance, or financial reports.

Net Price Method

Net price method is a pricing strategy that accounts for discounts, rebates, and other incentives upfront, presenting the final price to consumers.

Sales Discounts

Reductions granted by a seller to the buyer for early payment or for meeting other conditions defined in the sales agreement.