Which of the Following Is Not a Determinant of a Good's

question 223

Multiple Choice

Which of the following is not a determinant of a good's price elasticity of demand?

• A)the slope of the demand curve
• B)the share of the good in the consumer's total budget
• C)whether the good is a luxury or a necessity
• D)the passage of time

---

Definitions:

Cash Dividends

Payments made by a corporation to its shareholders from its profits.

Short-term Investments

Financial assets expected to be converted into cash typically within a year, such as stocks or government bonds.

Inventory Turnover

A financial ratio that measures how many times a company's inventory is sold and replaced over a period.

Cost of Goods Sold

Specific expenses directly tied to the production of goods a company markets, such as labor and materials.