During the Great Depression,aggregate Demand in the U

question 32

Multiple Choice

During the Great Depression,aggregate demand in the U.S.economy decreased.As a result,the price level ________ and real gross domestic product (GDP) ________.

• A) decreased; decreased
• B) increased; increased
• C) remained unchanged; increased
• D) decreased; remained unchanged
• E) increased; decreased

---

Definitions:

Accrual Basis

An accounting method where revenues and expenses are recorded when they are earned or incurred, regardless of when the cash transactions occur.

Income

The money received, especially on a regular basis, for work or through investments.

Depreciation Expense

Segmenting the cost related to a physical asset through its active life.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset since it was acquired, representing how much of the asset's value has been used up.