If the Demand for Milk Is Downward Sloping, Then an Increase

question 40

Multiple Choice

If the demand for milk is downward sloping, then an increase in the price of milk will result in a(n) :

• A)​increase in the demand for milk.
• B)​decrease in the demand for milk.
• C)​increase in the quantity of milk demanded.
• D)​decrease in the quantity of milk demanded.

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Definitions:

Straight-Line Rate

A method of calculating depreciation of an asset, dividing its cost by the number of years in its useful life.

Depreciation Expense

The structured spreading of the expense associated with a tangible asset across its useful life.

Double Declining-Balance Method

An accelerated depreciation method that computes an asset's depreciation at double the rate of the straight-line method over its useful life.

Straight-Line Method

A method of depreciation that allocates an equal amount of the cost of an asset over its useful life.