Suppose There Is a Shortage in the Market for Automobiles

question 140

Multiple Choice

Suppose there is a shortage in the market for automobiles.What should happen to eliminate the shortage?  

• A) the price should begin to rise 
• B) the demand curve will shift to restore equilibrium in the market 
• C) the supply curve will shift to restore equilibrium in the market 
• D) the price is expected to fall

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Definitions:

Consolidated Financial Statements

Financial statements that aggregate the financial position, results of operations, and cash flows of a parent company and its subsidiaries, presenting them as a single economic entity.

Shareholder's Equity

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

NCI

Non-controlling interest, which represents the portion of a subsidiary not owned by the parent company, showing up in the consolidated financial statement.