Which of the Following Is Probably NOT a Normal Good

question 5

Multiple Choice

Which of the following is probably NOT a normal good?

• A) Designer jeans
• B) Diamond rings
• C) Intercity passenger bus travel
• D) New automobiles

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Definitions:

Anticipated Dividend

The expected payment of dividends by a company to its shareholders in the future.

Risk-Free Rate

The theoretical rate of return of an investment with zero risk, often represented by the yield on government Treasury bills.

Stock Index

A measurement of a section of the stock market, usually representing the performance of certain stocks or industries.

Soybean Future

A standardized contract for the future sale or purchase of soybeans, traded on a commodities exchange.