Rubric, Inc

question 11

Multiple Choice

Rubric, Inc. provided the following inventory transaction summary for May:

In addition, it has been determined that Rubric's inventory at the beginning of the month was $400.00 (200 units) . What was Rubric's cost per unit at the end of May, using the moving average method?

• A) $3.00
• B) $2.00
• C) $4.00
• D) $6.00

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Definitions:

Elasticity of Demand

A determination of the responsiveness of consumer interest in a good due to price fluctuations.

Unit Elasticity

Describes a scenario in demand or supply where the percentage change in quantity demanded or supplied is equal to the percentage change in price.

Total Revenue

The total income generated by a firm from its sales of goods or services, calculated as quantity sold times price.

Elastic

A term used to describe a situation where the demand or supply for a good or service significantly changes in response to a change in price.