Improvements in a Person's Financial Position Are the Result Of

question 24

Multiple Choice

Improvements in a person's financial position are the result of:

• A)increasing liabilities.
• B)reducing earnings.
• C)saving current income and investing
• D)increasing purchases on credit.
• E)withdrawing amounts from savings.

Recognize the role of tax credits and subsidies in supporting low-income workers.

Understand the effects of welfare system reforms on dependency and employment incentives.

Understand the arguments for and against income inequality and the impact of government programs on income distribution.

Identify the effects of occupational segregation and discrimination on wages and the allocation of resources.

---

Definitions:

Capital Structures

The mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, constituting how a firm finances its overall operations and growth.

Tax Shelters

Investment strategies or financial arrangements used to minimize tax liabilities, often by deferring or reducing taxable income.

Return on Assets

A financial ratio that indicates the profitability of a company relative to its total assets.