When the Price Elasticity of Demand Is High and Prices

question 93

Multiple Choice

When the price elasticity of demand is high and prices go up,total ________.

• A) revenues stay the same
• B) revenues decline
• C) revenues increase
• D) profits increase

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Definitions:

Net Realizable Value

The estimated selling price in the ordinary course of business, minus any costs of completion, disposal, and transportation.

Inventory Figure

The total value of a company's merchandise, raw materials, and finished and unfinished products which have not yet been sold.

Financial Position

Financial position is the status of a person's or entity's assets, liabilities, and equity at a given point in time, providing a snapshot of financial health.