Which of the Following Would Cause an Increase in the Supply

question 227

Multiple Choice

Which of the following would cause an increase in the supply of peanut butter?

• A) A decrease in the price of strawberry jam (assuming that peanut butter and strawberry jam are complements).
• B) An increase in the price of peanut butter.
• C) An increase in the price of a product that producers sell instead of peanut butter.
• D) An increase in the number of firms that produce peanut butter.

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Definitions:

Note Payable

A written promise to pay a specified amount of money, often with interest, by a certain date.

Common Stock

Shares issued by a corporation representing partial ownership in the company, entitling holders to vote on corporate matters.

Short-Term Investments

Assets of a financial nature forecasted to be liquidated or exchanged for cash within a twelve-month period.

Investing Activities

Investing activities include transactions and events related to the acquisition and disposal of long-term assets and investments not related to the entity's primary business operations.