Which of the Following Would Likely Cause an Increase in the Supply

question 321

Multiple Choice

Which of the following would likely cause an increase in the supply of espresso coffee makers?

• A) an increase in the number of business firms demanding espresso makers
• B) an increase in the price of espresso makers
• C) an increase in the cost of manufacturing espresso makers
• D) a widespread expectation that the price of espresso makers will fall in the future

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Definitions:

Future Cash Flow

Projected cash receipts and disbursements over a future period, indicating the amount of money expected to flow in and out of the business.

Present Value

The contemporary valuation of a future money sum or ongoing cash flows, factoring in a defined interest rate.

Rate of Return

The percentage of profit or loss on an investment over a period.

Guaranteed Rate

A promised or assured rate of return on an investment or loan.