The Investment-Demand Curve Will Shift to the Right as the Result

question 132

Multiple Choice

The investment-demand curve will shift to the right as the result of:

• A)the availability of excess productive capacity.
• B)an increase in business taxes.
• C)businesses becoming more optimistic with respect to future business conditions.
• D)an increase in the real interest rate.

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Definitions:

Debit

An accounting entry that increases asset or expense accounts, or decreases liabilities or equity accounts, recorded on the left side of an accounting ledger.

Merchandise Inventory

Goods and products that a retailer or wholesaler has on hand to sell to customers.

Buyer

A person or organization that purchases goods or services for personal use or consumption.

Asset

Assets possessed by a corporation that hold financial worth and can yield advantages in the future.