Suppose Scientists Provide Evidence That People Who Drink Energy Drinks

question 206

Multiple Choice

Suppose scientists provide evidence that people who drink energy drinks are more likely to have a heart attack than people who do not drink energy drinks. We would expect to see

• A)no change in the demand for energy drinks.
• B)a decrease in the demand for energy drinks.
• C)an increase in the demand for energy drinks.
• D)a decrease in the supply of energy drinks.

---

Definitions:

Cash Basis

An accounting method where revenue and expenses are recognized only when cash is exchanged.

Accounts Receivable

Funds that customers owe to a business for products or services they have received but have not yet paid for.

Uncollectible Accounts

Uncollectible Accounts are receivables that a company does not expect to collect and are thus written off as an expense for bad debts.

Extraordinary Loss

Unusual and infrequent losses that are not part of the ordinary activities of a business, such as losses from natural disasters.