For a Particular Product,a Demand Elasticity Is a Quantitative Measure

question 74

Multiple Choice

For a particular product,a demand elasticity is a quantitative measure that shows:

• A)the percentage change in quantity demanded relative to the absolute change in any of the other variables included in the demand function for that product.
• B)the absolute change in quantity demanded relative to the percentage change in any of the other variables included in the demand function for that product.
• C)the percentage change in quantity demanded relative to the percentage change in any of the other variables included in the demand function for that product.
• D)the absolute change in quantity demanded relative to the absolute change in any of the other variables included in the demand function for that product.

---

Definitions:

Discounted Payback Period

The time it takes to recoup an investment considering the time value of money, by discounting future cash flows to present value.

Market Value

The immediate cost at which services or assets are exchangeable in a free trading market.

Net Present Value

A financial metric that discounts all expected future cash flows to their present value to assess the viability or profitability of an investment.

Investment Cost

The total amount of money spent to acquire an investment, including all charges, fees, and acquisition expenses.