When the Price of a Good or Service Changes

question 138

Multiple Choice

When the price of a good or service changes,

• A)the supply curve shifts in the opposite direction.
• B)the demand curve shifts in the opposite direction.
• C)the demand curve shifts in the same direction.
• D)there is a movement along a given demand curve.

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Definitions:

Cash Flows

The total amount of money being transferred into and out of a business, particularly affecting the company's liquidity.

Significant Noncash

Transactions that have a significant impact on the financial statements but do not involve cash flow, often reported in financial statement notes.

Statement Of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, breaking the analysis down to operating, investing, and financing activities.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset up to a specific point in time.