Which of the Following Is Consistent with the Law of Demand

question 296

Multiple Choice

Which of the following is consistent with the law of demand?

• A) An increase in the price of a DVD causes an increase in the quantity of DVDs demanded.
• B) An increase in the price of a soda causes a decrease in the quantity of soda demanded.
• C) A decrease in the price of a gallon of milk causes a decrease in the quantity of milk demanded.
• D) A decrease in the price of juice causes no change in the quantity of juice demanded.

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Definitions:

Maturity Date

The date on which the final payment on the bond is due from the bond issuer to the investor.

Note Receivable

A financial asset representing a written promise for a debtor to pay a specified sum of money to the creditor on a determined future date or on demand.

Dishonored Note

A promissory note that has not been paid by the issuer at the time of its due date.

Fully Paid

Fully Paid denotes a status where all required payments for a service or product have been completed, with no outstanding amounts due.