Jack Graduated from College Last Month,but He Has Not Yet

question 42

Multiple Choice

Jack graduated from college last month,but he has not yet started looking for a job.Jack is

• A)Frictionally unemployed.
• B)Structurally unemployed.
• C)A discouraged worker and is part of the unemployment statistic.
• D)Not part of the labor force and is not counted in the unemployment rate.

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Definitions:

Historical Cost Principle

An accounting principle that states assets should be recorded and reported at their original purchase price, not their current market value.

Economic Entity Assumption

The economic entity assumption is an accounting principle that treats a company as a separate entity from its owners for reporting purposes.

Comparability

A qualitative characteristic of financial information that allows stakeholders to identify similarities and differences between two or more sets of economic facts.

Faithful Representation

A fundamental qualitative characteristic in accounting, ensuring that financial information accurately reflects the economic events it purports to represent.