Business Cycles Are

question 22

Multiple Choice

Business cycles are

• A)unpredictable, but always have two phases and two turning points.
• B)irregular, with some having two recessions and no expansion.
• C)predictable, with a recession following a trough.
• D)unpredictable, and don't always have two phases and two turning points.

---

Definitions:

Ending Owner's Equity

Ending Owner's Equity represents the final amount of owner's equity in a business at the conclusion of an accounting period, after accounting for all additions and deductions.

Withdrawals

Withdrawals typically refer to amounts of money taken out from a bank account, but in business, it can also mean money taken out by the owner for personal use, reducing the capital account.

Net Income

The total revenue minus total expenses, indicating the company’s profit or loss over a specific accounting period.

Accrued Salaries

Salaries that have been earned by employees but have not yet been paid by the company.