If the Price Elasticity of Supply Is Zero,then

question 29

Multiple Choice

If the price elasticity of supply is zero,then

• A)supply is more elastic than it is in any other case.
• B)the supply curve is horizontal.
• C)the quantity supplied is the same,regardless of price.
• D)a change in demand will cause a relatively small change in the equilibrium price.

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Definitions:

Journalize

The process of recording financial transactions in a company's journal, marking the first step in the accounting cycle.

Fiscal Year

A 12-month period that companies use for accounting purposes and preparing financial reports, which may or may not align with the calendar year.

Quick Ratio

A liquidity ratio that measures a company's ability to meet its short-term obligations with its most liquid assets, excluding inventory.

Assets

Resources owned or controlled by a business or individual, which are expected to produce future economic benefits.