An Increase in the Price of Cheese Crackers from $2

question 52

Multiple Choice

An increase in the price of cheese crackers from $2.25 to $2.45 per box causes suppliers of cheese crackers to increase their quantity supplied from 125 boxes per minute to 145 boxes per minute.Using the midpoint method,supply is

• A)elastic,and the price elasticity of supply is 1.74.
• B)elastic,and the price elasticity of supply is 0.57.
• C)inelastic,and the price elasticity of supply is 1.74.
• D)inelastic,and the price elasticity of supply is 0.57.

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Definitions:

Perrier

A brand of naturally sparkling mineral water sourced from Vergèze, France, known for its distinct green bottle.

Physical Surroundings

The environmental and spatial factors that contribute to the experience of a location, influencing people's behavior and perceptions.

Situational Influences

External factors that can affect consumer behavior, such as physical environment, social situation, time, and purpose of the purchase.

Time of Day

Refers to specific moments within a 24-hour period, often considered in planning and scheduling activities.