The Expansion Phase of a Business Cycle Is Best Described

question 162

Multiple Choice

The expansion phase of a business cycle is best described as the time

• A) elapsed from a trough to a peak.
• B) elapsed from a peak to a trough.
• C) elapsed from a peak to a peak.
• D) elapsed from a trough to a trough.
• E) spent producing above the long-run trend of GDP.

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Definitions:

Ending Inventory

Merchandise value set for sale by the end of a fiscal period.

Days' Sales

A financial ratio that calculates the average time it takes for a company to convert its inventory into sales.

Average Inventory

The mean value of inventory within a certain period, calculated to help understand inventory levels and turnover.

Ending Inventory

The total value of all inventory a company has on hand at the end of its financial period.