Which of the Following Is an Example of an Expansionary

question 68

Multiple Choice

Which of the following is an example of an expansionary fiscal policy?

• A) decreasing taxes
• B) decreasing government spending
• C) less subsidies to encourage investment
• D) increasing taxes

---

Definitions:

Receivables Management

Practices and procedures used to manage amounts owed to a business by its customers, enhancing cash flow.

Note Disclosures

Additional information provided in financial reports that complements and clarifies the main financial statements, often detailing accounting policies and methodologies.

Financing Activities

Financing activities are transactions between a business and its financiers, such as issuing debt or equity, to raise capital or pay dividends.

Cash Flow Statement

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, separating activities into operating, investing, and financing.