When Demand Is Elastic

question 23

Multiple Choice

When demand is elastic

• A)price and revenue move in opposite directions.
• B)price and revenue are not related.
• C)price and quantity demanded move in opposite directions.
• D)price and revenue move in the same direction.

Analyze the impact of activity level changes on costs and profitability.

Understand the limitations and assumptions underpinning cost-volume-profit analysis.

Understand the concept and purpose of Maslow’s hierarchy of needs.

Differentiate between content and process theories of motivation.

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Definitions:

Imported

Describes goods or services brought into one country from another for sale, usually regulated by import quotas and tariffs.

Economies Of Scale

The cost advantages that enterprises obtain due to their scale of operation, leading to a reduced cost per unit of output.

Long-Run Average Cost

The per-unit cost of production in the long term, where all inputs, including capital, are variable, often used to analyze economies of scale.

Scale Of Operation

The scope or size of a business or production process, which can affect efficiency and cost.