Which of the Following Statements Is True

question 21

Multiple Choice

Which of the following statements is true?

• A)Whenever a firm raises its price its total revenue will increase.
• B)When a firm lowers its price its total revenue may either increase or decrease.
• C)Whenever a firm increases its quantity sold its revenue will increase.
• D)Total revenue will equal zero when the demand for a product is unit elastic.

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Definitions:

Histogram

A graphical representation showing a frequency distribution where the data is grouped into ranges and represented by bars.

Bar Chart

A graphical representation of data using bars of different heights or lengths to compare values across categories.

Ratio Scale

A quantitative scale of measurement that has a true zero-point and units of equal intervals, allowing for the comparison of absolute magnitudes of numbers.

Interval Scale

A type of measurement scale that represents both the order of data points and the exact differences between them, but without a true zero point.