Kelly Is an Appliance Salesperson

question 31

Multiple Choice

Kelly is an appliance salesperson.Kelly commits fraud if,to make a sale,she

• A)discloses the truth.
• B)represents as a fact something that she knows is untrue.
• C)states an opinion concerning something that she knows nothing about.
• D)uses puffery.

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Definitions:

Price Elastic

Relating to the responsiveness of the demand or supply of a good or service to changes in its price.

Price Elasticity

A measure of the responsiveness of the quantity demanded or supplied of a good or service to a change in its price.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a given price level.

Inelastic

A description of a situation where the demand or supply for a good or service is relatively unresponsive to changes in price.