Which of the Following Did Not Cause the Budget Deficit

question 102

Multiple Choice

Which of the following did not cause the budget deficit to grow larger since 2001?

• A) the fast growing economy since 2003
• B) the war in Iraq
• C) the larger in unemployment benefit claims in 2003
• D) the tax cuts in 2001 and 2003

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Definitions:

Accounting

The systematic process of recording, measuring, and communicating financial information to help in decision-making.

Supplies Used

The amount of supplies consumed during a specific period, which may be accounted for as an expense.

Balance Sheet

A ledger entry detailing a business’s resources, debts, and equity ownership at a fixed point in time.

Adjustment

A modification made to an account or financial statement to correct an error or reflect new information.