A Perfectly Inelastic Demand Curve

question 39

Multiple Choice

A perfectly inelastic demand curve

• A)Is a horizontal curve parallel to the horizontal axis
• B)Has an elasticity of demand between 0 and 1
• C)Represents the demand curve of a product with no close substitutes
• D)None of the above

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Definitions:

Statement Of Cash Flows

A financial statement that provides aggregate data regarding all cash inflows and outflows a company receives.

Fixed Assets

Fixed Assets are long-term tangible assets that a company uses in its operations and which are not expected to be consumed or converted into cash within a year.

Working Capital

A firm’s investment in short-term assets—cash, marketable securities, inventory, and accounts receivable.

MVA

Market Value Added, a measure of a company's financial performance representing the difference between the market value of a firm and the capital contributed by investors.