If Both Matches and Automobile Prices Increase by 10 Percent

question 190

Multiple Choice

If both matches and automobile prices increase by 10 percent, consumers will likely buy

• A)fewer matches and approximately the same quantity of automobiles.
• B)approximately the same quantity of matches and fewer automobiles.
• C)fewer matches and fewer automobiles.
• D)approximately the same quantity of both matches and automobiles.

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Definitions:

Company-wide Profits

The total earnings of a company, taking into account all sources of income and expenses, across all departments and units.

Profit Centers

Divisions or sectors of a business that are directly responsible for generating its profits.

Corporate Executives

High-level officers within a corporation, responsible for making major corporate decisions and managing operations.

Division Revenues

The total income generated from the sales of goods or services by a specific division or segment of a larger company.