When the Price of a Good Is $5,the Quantity Demanded

question 50

Multiple Choice

When the price of a good is $5,the quantity demanded is 120 units per month;when the price is $7,the quantity demanded is 100 units per month.Using the midpoint method,the price elasticity of demand is about

• A)0.55.
• B)1.83.
• C)2.
• D)10.

---

Definitions:

Promote Efficient Operations

Strategies or practices implemented within an organization to enhance productivity and minimize waste.

Days' Sales

Days' sales, often referred to as days sales outstanding (DSO), measures the average number of days it takes a company to collect payment after a sale has been made.

Raw Materials Inventory

The total cost of all the materials that are used in the production of finished goods that have not yet been used.

Inventory Turnover

A financial ratio that measures how often a company's inventory is sold and replaced over a certain period, indicating the efficiency of inventory management.