When Autonomous Expenditure Decreases,

question 186

Multiple Choice

When autonomous expenditure decreases, .

• A) the AE curve shifts downward
• B) there is a movement down along the AE curve
• C) the AE curve shifts upward
• D) the AE curve becomes less steep

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Definitions:

Separate Legal Entity

A business entity that is legally distinct from its owners, meaning it can own property, incur debts, and be sued in its own name.

Ratification

The action of formally confirming or approving an agreement, treaty, or contract, making it officially valid.

Authority

The legal right or power to make decisions, enforce rules, or command obedience.

Principal

In a legal context, a principal can also refer to the person who has authorized another (an agent) to act on their behalf.