In Which of the Following Situations Will the Effect Upon

question 240

Multiple Choice

In which of the following situations will the effect upon the equilibrium price of wheat be indeterminate?

• A)supply decreases and demand increases
• B)demand decreases and supply increases
• C)demand remains constant and supply increases
• D)supply decreases and demand decreases
• E)supply remains constant and demand increases

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Definitions:

Unrealized Profits

Profits that have occurred on paper due to an asset's increased value but have not yet been cashed in by selling the asset.

Realized Profits

Refers to the gains earned and received from the sale of assets or investments, distinguished from those merely existing on paper.

Intercompany Sales

Transactions involving goods or services exchanged between subsidiaries within the same corporation, often used for internal accounting and tax purposes.

Unrealized Profits

Gains on investments or assets that have increased in value but have not yet been sold or cashed in.