If a Demand Curve Is Horizontal,what Are Its Slope and Elasticity

question 38

Multiple Choice

If a demand curve is horizontal,what are its slope and elasticity

• A)undefined and elasticity equals 0
• B)0 and elasticity is undefined
• C)undefined, as is elasticity
• D)0, as is elasticity

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Definitions:

De Facto Corporation

A company that operates like a corporation and may be treated as one for legal purposes, despite not having completed formal incorporation steps.

State Incorporation Statute

Laws established by individual states governing the process, requirements, and regulations for the incorporation of businesses within their jurisdiction.

Closely Held

Refers to a business that has a small number of shareholders, often family members, without public stock offerings.

Offer Stock

The process by which a corporation issues new shares of stock to potential buyers, typically to raise capital.