If Bus Fares Fall but Fewer People Are Riding the Bus

question 2

Multiple Choice

If bus fares fall but fewer people are riding the bus, it is likely that

• A) the bus company is incompetent.
• B) demand decreased.
• C) supply decreased.
• D) demand increased.
• E) supply increased.

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Definitions:

Size

in a business or economic context typically relates to the scale or dimensions of a company or market, often measured by metrics such as revenues, employee count, or market share.

Nature

The fundamental qualities or characteristics of something, indicating its intrinsic properties or tendencies.

AASB 108/IAS 8

An international financial reporting standard that focuses on accounting policies, changes in accounting estimates, and errors.

Accounting Policy

Individual tenets, underpinnings, traditions, legislations, and tactics utilized by an establishment in crafting and showcasing its financial accounts.