Figure 2.3 -In Figure 2.3,the Move from Production Possibility Curve XV to XV

question 64

Multiple Choice

Figure 2.3
-In Figure 2.3,the move from production possibility curve XV to production possibility curve YZ could be caused by:

• A)decreased unemployment.
• B)more land,labor or capital.
• C)a decline in technology.
• D)all of the above.

---

Definitions:

Depreciation Expense

The allocated amount of the cost of an asset expensed each period over its useful life, reflecting wear and tear or obsolescence.

Rent Expense

Rent Expense is the cost incurred by a company or individual for the use of a property or equipment.

Capital Lease

A lease agreement that is classified as a purchase of an asset for accounting purposes, as it meets specific criteria set out in accounting standards.

Incremental Borrowing Rate

The incremental borrowing rate is the interest rate a lessee would have to pay to borrow funds on a secured basis over a similar term, in a similar currency, to purchase or lease a similar asset.