Factors of Production Are Another Term for the

question 131

Multiple Choice

Factors of production are another term for the

• A) multiplier (factor)by which production can be increased by using new technology.
• B) certain technical aspects (factors such as temperature and humidity)by which more output is produced.
• C) accounting techniques (factors)used to report increased production.
• D) aspects (factors)by which production determines derived demand.
• E) inputs (factors)to the production process.

---

Definitions:

Matching Principle

An accounting principle that dictates expenses should be reported in the same period as the revenues they help to generate, to ensure financial statements accurately reflect business activities.

Bad Debts

Amounts owed to a company that are considered uncollectible, leading to their classification as a loss.

Bankruptcy

A legal process through which individuals or businesses unable to meet their debt obligations can seek relief from some or all of their debts.

Uncollectible

Refers to accounts receivable or loans that are not expected to be collected due to the borrower's inability to pay.