Which of the Following Would Likely Cause an Upward Parallel

question 61

Multiple Choice

Which of the following would likely cause an upward parallel shift in the AE curve and a rightward shift in the AD curve?

• A)a decrease in the price level
• B)a reduction in government purchases
• C)an increase in the price level
• D)an increase in the MPC
• E)an increase in the business confidence of firms

Grasp the criteria for capitalizing expenditures and distinguishing between capital and revenue expenditures.

Learn the journal entry preparation for disposal of fixed assets and understanding the effect on financial statements.

Know the accounting treatment for intangible assets including amortization, impairment, and write-offs.

Comprehend the accounting rules for asset trade-ins and how they affect the cost basis of the new asset.