Practice Test

Question 7 • Personal Finance and Economics

A clothing store has ordered a new supply of jeans for the fall season and wants to sell off the remaining items from the previous spring. What action would the store owner most likely take?

Answer

The store owner would most likely raise the price of the spring jeans to encourage producers.

The store owner would most likely raise the price of the spring jeans to encourage consumers.

The store owner would most likely lower the price of the spring jeans to encourage consumers.

The store owner would most likely lower the price of the spring jeans to encourage producers.

Explanation

The store wants to sell its remaining spring jeans before the new fall supply arrives. Lowering the price makes the jeans more attractive to consumers and encourages them to buy. Raising the price would usually make it harder to sell the leftover items, and encouraging producers is not the store’s goal.

AI-written and checked against the verified answer.

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