Factors of supply changes

Below are the factors of production, except....

• Labors

• Raw materials

• Power Supplies

• Market

Higher price of raw material may lower the supply.

• True

• False

What is the best decision the company has to make when facing raw materials shortage?

• Decrease the company supplies

• Rent more building

• Cut the number of the employee

• Increase the quantity supply

Market price is highly affected by the cost of production and the supply

• True

• False

When supply can meet the demand will have the ...

(pick 2 options)

• Market price

• Equilibrium price

• Surplus

• Shortage

If the price of factory machinery would likely to decrease, what decision a company could make?

• Decrease the quantity of supplied

• Rent more building to increase the supply

• Purchase the machine to increase the supply

• Cut the salary of the labors

Advanced technology will cut the production cost

• True

• False

What is one positive point to have a better machinery?

• Pollution in the environment

• A cheaper way of production

• Less employed work force

• Increase consumption of power supply

If the demand for one particular product is likely to increase, what decision a company may make?

• Decrease the product's supply to preserve the raw materials

• Higher the rate of the employee's salary, because the company likely to make profit

• Buy more machinery to increase the supply of the high-demanded products

• Decrease the supply of other products and increase the supply of the high-demanded product

Excess supply is called ....