If the Price of a Product Does Not Change Immediately,which

question 87

Multiple Choice

If the price of a product does not change immediately,which of the following will cause an initial shortage of a product?

• A)An increase in the demand or an increase in the supply.
• B)A decrease in the demand or a decrease in the supply.
• C)An increase in the demand or a decrease in the supply.
• D)A decrease in the demand or an increase in the supply.
• E)A change in the quantity supplied.

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Definitions:

Balance

A balance in financial terms refers to the amount of money or value remaining in an account, or the equality between the sum of debits and credits in an accounting record.

Accounts Receivable

Funds that customers owe a company for goods or services that have already been delivered or utilized, but payment has not yet been received.

Fees Earned

Income earned by a company for services provided to clients, usually recorded as revenue in the income statement.

Accounts Payable

Liabilities to creditors for goods and services received that have not yet been paid for.