Which of the Following Statements Is FALSE

question 85

Multiple Choice

Which of the following statements is FALSE?

• A) If there is an increase in the demand for a product, consumers want to buy more of the product at each and every possible price.
• B) A decrease in demand shifts the demand curve leftward toward the origin, while a decrease in quantity demanded involves a movement upward along a particular demand curve.
• C) If the price of a good rises, quantity demanded of the good decreases and the demand curve shifts toward the origin as long as supply is static.
• D) A change in the demand for a product is caused by factors other than changes in the product's price.

Recognize the importance of proper citation and referencing in avoiding plagiarism.

Understand the relationship between marginal cost, average variable cost, and average total cost.

Analyze the implications of variable and fixed costs on the firm's decision-making process.

Identify and describe the shapes and relationships of cost curves including ATC, AVC, AFC, and MC.

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Definitions:

Supply Chain

The interconnected sequence of processes involved in the production and distribution of a commodity, from raw materials to end-user delivery.

Distributor

An intermediary entity between the producer of a product and another entity in the distribution channel or supply chain, such as a retailer or end consumer.

Manufacturer Profit

The financial gain a manufacturing company obtains from producing and selling its goods, calculated by subtracting costs from revenue.

Retailer Profit

The financial gain that a retailer earns from selling products or services, after subtracting the costs of purchasing or producing those items.