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Ceteris Paribus, If the Market Demand for a Product Increases

question 92

Multiple Choice

Ceteris paribus, if the market demand for a product increases, then equilibrium quantity will (be) ____ and equilibrium price will (be) ____.


Definitions:

Realized Gain

The profit made from selling an asset at a higher price than its purchase cost.

Fair Values

the estimated market value of an asset or liability, based on current prices in an open and competitive market.

Temporary Investments

Investments in stocks, bonds, or other securities that a company intends to sell within a short period, typically one year.

Excess Cash

The amount of cash a company possesses that exceeds the minimum level needed to maintain its operations and investment plans.

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