A Decrease in Aggregate Demand Could Be Caused by

question 90

Multiple Choice

A decrease in aggregate demand could be caused by

• A)A decrease in the value of the domestic currency.
• B)A booming economy.
• C)Contractionary monetary policy.
• D)Expansionary monetary policy.

---

Definitions:

Straight-Line Method

A depreciation accounting method that allocates the cost of a fixed asset evenly over its useful life.

Salvage Value

The estimated resale or scrap value of an asset at the end of its useful life, considered in depreciation calculations.

Working Capital

A measure of a company's liquidity, operational efficiency, and short-term financial health, calculated as current assets minus current liabilities.

Revenues

The total income generated from normal business operations and includes discounts and deductions for returned merchandise.