Which Statement Is TRUE of a Normal Good

question 65

Multiple Choice

Which statement is TRUE of a normal good?

• A)When income increases,the demand for the good remains unchanged.
• B)When income increases,the demand for the good decreases.
• C)When income increases,the demand for the good increases.
• D)Income and the demand are unrelated.

Assess the importance of family background, education, and individual achievements in determining occupational success and status.

Analyze the concepts of social and occupational mobility, including types and drivers of mobility.

Evaluate criticisms of traditional stratification studies, including considerations of part-time and unemployed workers, racial and gender representations.

Recognize how societal changes, such as shifts from agriculture to manufacturing, impact social mobility and the structure of classes.

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Definitions:

Fixed Manufacturing Overhead

The portion of manufacturing overhead costs that remains constant regardless of the volume of production, including expenses such as factory rent and salaries of permanent staff.

Avoidable Cost

Expenses that can be eliminated if a particular decision or action is avoided.

Financially Better

A general term that implies an improvement in financial condition or performance compared to a previous period.

Variable Expenses

Costs that fluctuate in direct proportion to changes in the level of activity or business operations, such as materials and labor.