A Rightward Shift in the Aggregate Demand Curve Cannot Be

question 92

Multiple Choice

A rightward shift in the aggregate demand curve cannot be caused by:

• A) an increase in the money supply.
• B) an increase in net exports.
• C) an increase in taxes.
• D) an increase in government spending.

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Definitions:

Internal Control

The process implemented by a company to ensure the integrity of financial and accounting information, promote accountability, and prevent fraud.

Purchase Discounts

A reduction in the price of goods bought, usually for early payment or in bulk quantity.

Net Method

An accounting technique that reports invoice amounts and accounts payable after deducting any available discounts for early payment.

Cash Discount

A reduction in the price paid for goods or services offered to the buyer as an incentive for early payment.