Question

Given below are two statements:
Statement (I): Modern theory of wages is based on demand of labor only.
Statement (II): Magazine is not an accounting book.
In light of the above statements, choose the most appropriate answer from the options given below:

• A. Both Statement (I) and Statement (II) are correct.
• B. Both Statement (I) and Statement (II) are incorrect.
• C. Statement (I) is correct but Statement (II) is incorrect.
• D. Statement (I) is incorrect but Statement (II) is correct.

Hint:

Under modern economic theory, the price of any resource (including wages) is always determined by the intersection of both Demand and Supply, never by demand alone.

Answer 1

The Correct Option is D