How Do Demand and Supply Influence the Increasing Cost of Health

question 102

Multiple Choice

How do demand and supply influence the increasing cost of health care?

• A) Demand and supply have no influence over the price of health care.
• B) Demand is limited and supply is strong and inelastic.
• C) Demand and supply are both limited.
• D) The demand for health care is strong and inelastic,whereas supply is limited.
• E) The demand and supply for health care are both strong and inelastic.

---

Definitions:

Completed-Contract Method

An accounting method used where revenue and profit are deferred until a contract is completed, particularly useful in long-term projects.

Percentage-Of-Completion Method

An accounting method used to recognize revenue and expenses of long-term contracts proportionally to the amount of work completed.

Extractive Industry

Industries involved in the extraction of natural resources from the earth, such as mining, drilling for oil, or logging.

Allowance Method

A method of accounting for bad debts that involves estimating and recording the amount of uncollectible accounts receivable.