Suppose That There Is an Improvement in Technology in the Market

question 369

Multiple Choice

Suppose that there is an improvement in technology in the market for iPhones. Which of the following is true?

• A) Supply will increase and the market clearing price will fall.
• B) Supply will increase and the market clearing price will rise.
• C) Demand will increase and the market clearing price will rise.
• D) Demand will increase and the market clearing price will fall.

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Definitions:

IASB

Stands for the International Accounting Standards Board, which is an independent, private-sector body that develops and approves International Financial Reporting Standards (IFRS).

GAAP

A set of widely adhered to accounting norms and guidelines for the preparation of financial statements, known as Generally Accepted Accounting Principles.

IFRS

International Financial Reporting Standards are global accounting norms formulated by the International Accounting Standards Board (IASB) for the preparation of public company financial reports worldwide.

Rules-Based

Rules-based refers to systems or processes that are governed by a set of explicit or predetermined rules or principles to ensure consistency and standardization.