Other Things Being Equal, an Increase in the Price of a Good

question 180

Multiple Choice

Other things being equal, an increase in the price of a good leads to a decrease in the amount people purchase. This is known as

• A)the law of demand.
• B)the law of supply.
• C)ceteris paribus.
• D)equilibrium.

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Definitions:

Amortization Methods

Various techniques used to gradually write off the initial cost of an intangible asset over a period.

Amortization

The process of spreading out a loan or intangible asset cost over a specified period of time.

Installment Notes

Long-term debts that are paid back in regular, periodic payments over time, which include both the principal and interest.

Journal Entries

Records of financial transactions in order by date, used in accounting.