A Demand Curve Usually Has a

question 121

Multiple Choice

A demand curve usually has a

• A)negative slope because price and quantity demanded are inversely related
• B)negative slope because as price rises, demand falls
• C)positive slope because price and quantity demanded are positively related
• D)positive slope because price and quantity demanded are inversely related
• E)slope of zero because there is no change along a demand curve when everything else is held constant

---

Definitions:

Managerial Options

Choices or decisions available to managers that allow them to steer the company in different strategic directions.

Strategic Planning

A systematic process for envisioning a desired future and translating this vision into broadly defined goals and a sequence of steps to achieve them.

Marginal Cost

The increase in cost that arises from producing one additional unit of a product or service.

Average Variable Cost

The per unit variable cost of production, calculated by dividing total variable costs by the quantity of output produced.