Which of the Following Statements Is True

question 85

Multiple Choice

Which of the following statements is true?

• A)Interest rates decline before each recession.
• B)Interest rates rise before each recession.
• C)Changes in interest rates are not correlated with the ups and downs of the economy.
• D)There are no long-term trends in interest rates.
• E)There is only one interest rate.

---

Definitions:

Balance Sheet

A balance sheet showing the total assets, financial obligations, and shareholders' equity of a company at a specific moment.

Ledgerizing

The process of posting journal entries to the ledger accounts as a step in the accounting cycle for organizing financial information.

Journalizing

The act of recording financial transactions in a company's journal in order of occurrence before they are posted to the general ledger.

Posting

The process of transferring journal entry amounts to the respective accounts in the general ledger.