Demand Is Said to Have Unit Elasticity If Elasticity Is

question 312

Multiple Choice

Demand is said to have unit elasticity if elasticity is

• A) less than 1.
• B) greater than 1.
• C) equal to 1.
• D) equal to 0.

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Definitions:

Actual Costs

The real financial expenditures that a company incurs, as opposed to budgeted or estimated costs.

Standard Materials Quantity

The predetermined amount of materials expected to be used in the production of a single unit or a batch of product, under normal conditions.

Direct Labor Hour

A measure of the labor time specifically involved in the direct manufacture of products, not including indirect tasks.

Direct Labor Rate Variance

It's a measure used in cost accounting to determine the difference between the actual labor cost per hour and the expected (or standard) cost per hour.