The Demand for Oranges Increases While the Supply Decreases

question 8

Multiple Choice

The demand for oranges increases while the supply decreases.The equilibrium price of oranges ________,and the equilibrium quantity ________.

• A)rises;decreases
• B)does not change;perhaps changes but we can't say if it increases,decreases or stays the same
• C)falls;perhaps changes but we can't say if it increases,decreases or stays the same
• D)falls;increases
• E)rises;perhaps changes but we can't say if it increases,decreases or stays the same

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Definitions:

Asset Retirement Obligation

A legal obligation associated with the retirement of a tangible long-lived asset, where the entity is required to remove or dispose of the asset.

Contra-Liability Account

An account that decreases the balance of a related liability account, representing a credit balance in the liability section of the balance sheet.

Continuing Operations

The segments or activities of a business that are expected to continue for the foreseeable future, excluding discontinued operations.