Which of the Following Causes a Surplus of a Good

question 139

Multiple Choice

Which of the following causes a surplus of a good?

• A)a binding price floor
• B)a binding price ceiling
• C)a tax on the good
• D)More than one of the above is correct.

---

Definitions:

Current Asset

Asset expected to be converted into cash, sold, or consumed within a year or within the business's operating cycle.

Liability Subsections

The divisions within the liabilities section of a balance sheet, categorizing liabilities based on their nature or duration, such as current liabilities and long-term liabilities.

Long-Term Liabilities

Liabilities that usually will not be due for more than one year.

Net Income

The amount of profit left over after all expenses, taxes, and costs have been subtracted from total revenue.