Determine whether the two variables are related in a way that might be described by a function. If the situation could be described as a function, then identify the independent and dependent variables. Choose the correct answer below.

The situation can be described by a function. The dependent variable is the price and the independent variable is the demand.

B.

The situation can be described by a function. The dependent variable is the demand and the independent variable is the price.

C.

The situation cannot be described by a function.

D.

The situation can be described by a function. There is a dependent variable, but no independent variable. The dependent variable is demand.

B

Step-by-step explanation:

We can observe relationship between demand and price in the sense that, price of a commodity can influence the demand for such commodity. However, we must understand that price is usually not the only explanatory variable for demand in most cases.

Meanwhile, for this question, demand is the dependent variable because it is a function of price. That is:

==> Demand = f(Price)

And price is the independent variable.

We assume that if price of a commodity increase, the demand will decrease if there is a substitute goods in the market.

But, in a monopoly, any increase in price of the commodity might cause decrease in demand only for a while particularly if such goods is a daily necessities. This is largely due to the fact that, the consumers has no other substitute and the goods is important to their daily needs. Hence, any increase in price will rather cause economic hardship on the consumer in a monopoly market.

In conclusion, price determines demand! Thus, the situation can be described by a function. The dependent variable is the demand and the independent variable is the price.

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