Which of the Following Would Be Defined as Inflation

question 95

Multiple Choice

Which of the following would be defined as inflation?

• A) An increase in medical care costs
• B) A rise in the price of real estates
• C) An increase in the market interest rate
• D) An increase in the average level of prices

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Definitions:

Unadjusted Trial Balance

A preliminary report of all accounts in the general ledger, before any adjusting entries are made to prepare financial statements.

Interim Financial Reports

financial statements prepared and published at intervals shorter than a fiscal year, such as quarterly or semi-annual reports.

Fiscal Year

A 12-month period used for accounting purposes and preparing financial statements, which may not align with the calendar year.

Supplies Expense

Costs associated with consumable items or supplies used in the day-to-day operations of a business.