CA Foundation Exam > CA Foundation Questions > The price of tomatoes increases and people bu...
Start Learning for Free
The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes are
- a)normal goods
- b)complements
- c)substitutes
- d)inferior goods
Correct answer is option 'C'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Most Upvoted Answer
The price of tomatoes increases and people buy tomato puree. You infer...
Explanation:
Substitutes are those goods which can be used in place of each other. When the price of one good increases, demand for the other good increases as people switch to the substitute. This is because the substitute offers similar utility or satisfaction at a lower price.
In the given scenario, when the price of tomatoes increases, people start buying tomato puree instead. This implies that tomato puree and tomatoes are substitutes for each other.
Hence, the correct answer is option C - substitutes.
Summary:
- Substitutes are goods that can be used in place of each other.
- When the price of one good increases, demand for the other good increases as people switch to the substitute.
- In the given scenario, people start buying tomato puree instead of tomatoes when the price of tomatoes increases.
- Therefore, tomato puree and tomatoes are substitutes for each other.
Substitutes are those goods which can be used in place of each other. When the price of one good increases, demand for the other good increases as people switch to the substitute. This is because the substitute offers similar utility or satisfaction at a lower price.
In the given scenario, when the price of tomatoes increases, people start buying tomato puree instead. This implies that tomato puree and tomatoes are substitutes for each other.
Hence, the correct answer is option C - substitutes.
Summary:
- Substitutes are goods that can be used in place of each other.
- When the price of one good increases, demand for the other good increases as people switch to the substitute.
- In the given scenario, people start buying tomato puree instead of tomatoes when the price of tomatoes increases.
- Therefore, tomato puree and tomatoes are substitutes for each other.
Free Test
FREE
| Start Free Test |
Community Answer
The price of tomatoes increases and people buy tomato puree. You infer...
The answer should be option= c
"substitute goods"
Because a tomato's clear substitute is tomato puree(just like,tomato catch up)
there fore,
here' if the Price of one products is increases then people are substitute there products to any other
same product
"substitute goods"
Because a tomato's clear substitute is tomato puree(just like,tomato catch up)
there fore,
here' if the Price of one products is increases then people are substitute there products to any other
same product
Attention CA Foundation Students!
To make sure you are not studying endlessly, EduRev has designed CA Foundation study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in CA Foundation.
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer?
Question Description
The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer?.
The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer?.
Solutions for The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer?, a detailed solution for The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? has been provided alongside types of The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice The price of tomatoes increases and people buy tomato puree. You infer that tomato puree and tomatoes area)normal goodsb)complementsc)substitutesd)inferior goodsCorrect answer is option 'C'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup