A Perfectly Elastic Demand

question 117

Multiple Choice

A perfectly elastic demand:

• A)means people are extremely sensitive to a change in price.
• B)means demand will drop to zero if the price changes by any amount.
• C)is demonstrated by a horizontal demand curve.
• D)All of these are true.

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Definitions:

Functional Organization

An organizational structure divided into departments based on specialization or function, such as marketing, finance, and production, to increase efficiency and effectiveness.

N-form Organization

A network form of organization is a business structure characterized by dynamic, flexible relationships among various independent entities or units to share skills, costs, and access to one another's markets.

Budgeting Process

Involves estimating revenues and expenditures for a specific period to manage financial resources effectively.

Delaying Sales

The strategy of postponing selling activities or transactions to a future date to potentially achieve more favorable terms or prices.