If the Supply Curve Is Unit Elastic,then All of the Following

question 222

Multiple Choice

If the supply curve is unit elastic,then all of the following are correct,except:

• A) A 10% increase in price causes a 10% increase in quantity supplied
• B) A 20% decrease in price causes a 20% decrease in price
• C) The supply curve goes through the origin
• D) A 10% decrease in price causes a 10% increase in quantity supplied
• E) A 20% increase in price causes a 20% increase in quantity supplied

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Definitions:

Base Year Figure

A benchmark or reference point in time used for comparative analysis, often in the calculation of indexes and financial ratios.

Retained Earnings

Net income retained in a corporation.

Total Assets

The sum of all owned resources and rights with economic value that a business controls, including both current and non-current assets.

Comparative Financial Statements

Financial statements that provide information for multiple accounting periods, typically side-by-side, allowing for analysis of trends, performance, and financial position over time.