The Three Essential Questions That Every Economy Must Solve Are

question 126

Multiple Choice

The three essential questions that every economy must solve are

• A)what, how many, and for whom?
• B)how, what, and where?
• C)what, how, and for whom?
• D)what, how much, and for whom?
• E)where, how, and for whom?

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Definitions:

Adjusted Trial Balance

A listing of all company accounts that will appear in the financial statements after adjustments have been made for journal entries.

Drawing Account

An account used to record withdrawals of business assets by the owner for personal use, reducing the capital account.

Salary Expense

The cost incurred by a company for the payment of regular salaries to its employees.

Accrued Salaries

Salaries that have been incurred but not yet paid by the end of a financial period, representing a liability for the business.