If the Price of Gatorade Increases,the

question 80

Multiple Choice

If the price of Gatorade increases,the

• A) equilibrium price of Powerade will increase because of a shift in demand.
• B) equilibrium price of Powerade will increase because of a shift in supply.
• C) equilibrium price of Powerade will decrease because of a shift in demand.
• D) equilibrium quantity of Powerade will decrease because of a shift in supply.
• E) equilibrium quantity of Powerade will decrease because of a shift in demand.

---

Definitions:

Controllable Margin

The amount of profit or contribution margin that a manager can directly influence by controlling costs and generating revenues.

Contribution Margin

The amount by which a product's selling price exceeds its total variable costs, indicating how much contributes to covering fixed costs and generating profit.

Dollar Amount

A specific value of money in terms of the currency of the United States, expressed in dollars.

Investment Center

A division or unit within a company that is responsible for its own revenues, expenses, and assets, and its performance is evaluated on its return on investment.