The Investment-Demand Curve Will Shift to the Left

question 140

Multiple Choice

The investment-demand curve will shift to the left:

• A)if firms plan to increase their inventories.
• B)if firms plan to decrease their inventories.
• C)if firms expect an increase in their sales.
• D)if firms expect no change in their sales.

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Definitions:

Share Titles

The formal documents that serve as evidence of ownership of stocks or shares in a corporation.

Trustee

A person or firm that holds and administers property or assets for the benefit of a third party.

Business Judgment Rule

A legal principle that protects the decisions made by the board of directors of a corporation as long as those decisions are made in good faith, with due care, and in the best interests of the corporation.

Breach

A breach is the violation or breaking of a law, duty, or obligation, either by engaging in an action that is prohibited or failing to perform a required act.