Which of the Following Statements Is False

question 43

Multiple Choice

Which of the following statements is false?

• A)A millionaire definitely receives less utility from an additional dollar than a poor person.
• B)A poor person definitely receives less utility from an additional dollar than a rich person.
• C)A millionaire definitely receives the same utility from an additional dollar as a poor person.
• D)A millionaire generally receives less utility from an additional dollar than a poor person.
• E)We do not know if any of the statements are true or false, because we do not know how much utility one person receives relative to another.

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Definitions:

Employer's Contribution

A payment made by an employer into a fund, pension plan, or insurance for the benefit of the employee.

Pension Expense

The annual cost recognized by an employer for its pension plan, which includes service costs, interest costs, expected returns on plan assets, and gains or losses.

Mortality Rate

Mortality rate, often expressed per thousand or per hundred thousand, refers to the frequency of deaths in a given population during a specific period of time.

Unrecognized Net Gain Or Loss

Refers to gains or losses that have been incurred but are not reported in the financial statements because they are unrealized.