A Rightward Shift in the Demand Curve for Product C

question 48

Multiple Choice

A rightward shift in the demand curve for product C might be caused by a(n) :

• A)decrease in income if C is a normal product
• B)increase in income if C is an inferior product
• C)decrease in the price of a product that is a substitute for C
• D)increase in the price of a product that is complementary to C
• E)increase in income if C is a normal product

---

Definitions:

Liabilities

Measurable obligations resulting from a past transaction; they are expected to be settled in the future by transferring assets or providing services.

Return On Assets

A profitability ratio that indicates how efficiently a company uses its assets to produce profit, calculated by dividing net income by total assets.

Net Profit Margin

A financial performance metric that shows the percentage of sales that has turned into profits, calculated by dividing net profit by revenue.