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

question 441

Multiple Choice

Which of the following would lead to an increase in the demand for gasoline in Universityville, a typical college town?

• A) the local bus service beginning to offer free bus transportation to students
• B) homecoming weekend when many former alumni visit the local college
• C) a large protest by a campus environmental group urging people to walk or ride their bikes rather than drive
• D) an increase in the tuition charged by the local college, which reduces student enrollment

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Definitions:

Business Firm

A Business Firm is an organization engaged in commercial, industrial, or professional activities with the aim of generating profits.

Drawing Account

An account used to record withdrawals made by a company’s owner for personal use, which is then deducted from the company’s capital.

Owner's Capital Account

Represents the total equity or net worth of an individual owner in a company, detailing the contributions, earnings, and withdrawals of the owner.

Income Statement

A financial statement that shows a company's revenues and expenses over a specific period, leading to the net income or loss for the period.