Price Elasticity of Demand Is Determined by a Number of Factors

question 99

Multiple Choice

Price elasticity of demand is determined by a number of factors such as whether the item is a luxury product or service,the availability of substitutes,the cash outlay of purchase relative to a person's disposable income,and

• A) the stage of the product or service in its product life cycle.
• B) the degree of carrying costs for the manufacturer or distributor.
• C) the financial resources of the organization itself.
• D) the ability of the organization to meet sudden increases in demand.
• E) the necessity of the product or service.

---

Definitions:

Visceral Layer

The inner layer of a two-part serous membrane that covers internal organs.

Pleura

A double-layered membrane surrounding the lungs and lining the chest cavity, facilitating lung movement and serving as a protective layer.

Serous Membrane

A serous membrane is a thin layer of tissue that lines certain internal cavities of the body, secreting a serous fluid that lubricates and reduces friction between organs.

Serous Fluid

A clear, thin fluid that lubricates the surfaces between two membranes, reducing friction from muscle movement.