An Assertion About the Desirability of Reducing Unemployment by Lowering

question 109

Multiple Choice

An assertion about the desirability of reducing unemployment by lowering payroll taxes is most likely

• A)a theory.
• B)a testable proposition.
• C)a hypothesis.
• D)a normative statement.
• E)a positive statement.

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Definitions:

Depreciation Expense

An accounting method used to allocate the cost of a tangible asset over its useful life.

Operating Expenses

Costs associated with running a business's day-to-day activities, excluding the cost of goods sold, such as rent, utilities, and payroll.

Liquidity Ratio

A financial metric used to determine a company's ability to pay off its short-term liabilities with its most liquid assets.

Inventory Turnover

This is a ratio showing how many times a company's inventory is sold and replaced over a period, usually a year, indicating the efficiency of inventory management.