Which of the Following Is a Reason Why the Wage

question 103

Multiple Choice

Which of the following is a reason why the wage rate of high-skilled workers exceeds the wage rate of low-skilled workers?

• A) The market for high-skilled workers is more competitive than the market for low-skilled labor.
• B) The demand for high-skilled workers exceeds the demand for low-skilled workers.
• C) The number of high-skilled workers exceeds the number of low-skilled workers.
• D) Low-skilled workers often are in the process of acquiring more human capital.

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Definitions:

Future Cash Flows

Future cash flows refer to the estimated monetary inflows and outflows a company expects to receive or pay out in the future, playing a critical role in financial planning and analysis.

Operating Activities

Operating activities refer to the day-to-day functions of a business involved in producing and selling its goods or services, which are reflected in its cash flow.

Financing Activities

Transactions that involve raising capital and repaying investors, including issuing equity, obtaining loans, and repaying debt.