Economics Multiple Choice Question – 22 May 2018

To maximise its revenue……?

Select ONE answer:

1. a firm facing inelastic demand should always raise its price. 
2. a firm should always charge the highest price possible regardless of the elasticity of demand.
3. a firm facing elastic demand should always raise its price.
4. None of the above answers is correct.

What is the implication for firms of changes in taxation?

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This is multiple choice question is suitable for Economics KS5 classes.

The answer is 1

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