If the Price of Petrol Decreases, What Will Be the Impact

question 181

Multiple Choice

If the price of petrol decreases, what will be the impact in the market for public transportation?

• A)The demand curve for public transportation shifts to the right.
• B)The quantity of public transportation demanded increases.
• C)The demand curve for public transportation shifts to the left.
• D)The quantity of public transportation demanded decreases.

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Definitions:

Dividend Per Share

The sum of declared dividends for every common share issued, divided by the total number of shares outstanding.

Free Cash Flow

The net cash flow a business produces following the deduction of operational expenses and investment in maintaining its fixed assets.

Interest Expense

The cost incurred by an entity for borrowed funds, typically reported on the income statement.

Net Debt

A financial metric that calculates a company's overall debt situation by subtracting its total cash and equivalent assets from its total short-term and long-term debt.