Jerry has $50,000 in his savings account and the average new car price is $23,000.Does Jerry have a demand for a new car?
A) Yes,since Jerry can afford a new car.
B) Not necessarily.Jerry has the ability to buy a new car,but we don't know if he also has the willingness to buy a new car.
C) Yes,since Jerry's savings is more than double the average new car price.
D) none of the above

Question

Quizplus · Accepted Answer

While Jerry has the ability to buy a new car with his savings, we don't know if he actually wants or needs a new car. Therefore, it is not necessarily true that he has a demand for a new car.

Jerry Has $50,000 in His Savings Account and the Average