If the Short Run Elasticity of Demand for a Good

question 190

Multiple Choice

If the short run elasticity of demand for a good was greater than 1, an increase in the price of the good would tend to:

• A)​increase total revenue in both the short run and the long run.
• B)​increase total revenue in the short run but not the long run.
• C)​decrease total revenue in the short run and the long run, but by more in the short run.
• D)​decrease total revenue in the short run and the long run, but by more in the long run.

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Definitions:

Bank Reconciliation

The process of comparing a company’s financial records and balance with its bank statement to ensure consistency and accuracy in the recorded transactions.

Journal Entry

A record in the accounting journal that represents a single business transaction through the debit and credit of financial accounts.

Bank Service Charge

Fees charged by a bank to a customer for account maintenance and other banking services.

Deposits In Transit

Funds that have been sent to a bank but not yet recorded in the bank's records, typically due to timing differences.