When We Graph the 45 Degree Line, What Are the Labels

question 229

Multiple Choice

When we graph the 45 degree line, what are the labels on the x- axis and the y- axis?

• A) output on the x- axis and expenditures on the y- axis
• B) income on the x- axis and interest rates on the y- axis
• C) expenditures on the x- axis and output on the y- axis
• D) output on the x- axis and income on the y- axis

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Definitions:

Accounting Information Processing Cycle

The series of steps followed in the accounting process to record, classify, summarize, and report a business's financial transactions.

Adjusting Entries

Journal entries made at the end of an accounting period to allocate income and expenditure to the appropriate period for a more accurate financial statement.

Earnings Per Share

A financial metric that measures the net income earned per share of a company's outstanding stock.

Adjusting Entries

Journal entries made in accounting to update the records for expenses and revenues that have been incurred but not previously recorded.