Which of the Following Would Lead to an Increase in the Demand

question 201

Multiple Choice

Which of the following would lead to an increase in the demand for fast food in Houston?

• A) an increase in Houston's population
• B) a decrease in average consumer income in Houston
• C) a front page newspaper article in Houston stating that fast food is very bad for your health
• D) a decrease in the average price charged by sit-down restaurants

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Definitions:

Trades

The act of buying, selling, or exchanging financial instruments, commodities, or other tangible or intangible items between parties.

Dividends

Payments made by a corporation to its shareholders, often derived from the company's profits, and distributed on a regular basis.

Earnings

The amount of profit that a company produces over a specific time period, typically reported as net income.

Mature Firms

Mature firms are companies that have reached a phase of growth where earnings, sales, and cash flows are relatively stable and predictable.