Arrange the statements to define the relationship between elasticity and expenditure of a commodity.

(A) The percentage increase in quantity demanded is greater than the percentage decline in the price.
(B) The impact on expenditure depends on how responsive the demand for the good is to the price change.
(C) The nature of price elasticity of demand is elastic.
(D) Expenditure on the goods will increase.

Choose the correct answer from the options given below:

(B), (A), (D), (C)

The correct answer is Option (3) → (B), (A), (D), (C)

(B) The impact on expenditure depends on how responsive the demand for the good is to the price change. This is the introductory idea, explaining that price elasticity of demand (PED) affects total expenditure. It sets the context.
(A) The percentage increase in quantity demanded is greater than the percentage decline in the price. This is a specific situation showing high responsiveness of demand.(This describes elastic demand without explicitly naming it yet).
(D) Expenditure on the goods will increase. In the case of elastic demand, a fall in price leads to higher total expenditure (because quantity increases more than proportionately).
(C) The nature of price elasticity of demand is elastic. Now that we've described the behavior and its outcome, we can label the elasticity type.