The Graph Above Illustrates the Supply of Cola

question 106

Multiple Choice

The graph above illustrates the supply of cola.If the price of cola rises from $0.50 a can to $1.50 a can,the quantity of cola supplied

• A)increases from 0 to 6,000 cans a day.
• B)decreases from 4,000 cans to 0 cans a day.
• C)increases from 0 cans to 4,000 cans a day.
• D)remains unchanged because the supply increases not the quantity supplied.
• E)remains unchanged because the supply decreases not the quantity supplied.

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Definitions:

Shareholders' Equity

The residual interest in the assets of a corporation after deducting liabilities, representing ownership interest in the company.

Net Working Capital

Networking capital represents a financial indicator that assesses the capacity of a business to settle its short-term debts using its short-term assets.

Capital Spending

Monies invested by an enterprise in obtaining or upgrading real assets, including estates, manufacturing facilities, or equipment.

Operating Cash Flow

The amount of cash generated by a company's regular business operations, indicating its ability to cover expenses, debt, and investments.