Which Event Could Be Expected to Shift a Nation's Demand

question 3

Multiple Choice

Which event could be expected to shift a nation's demand for loanable funds, as shown in the accompanying graph?

• A) an increase in the productivity of capital
• B) a decrease in investor confidence
• C) an increase in consumer wealth
• D) an increase in time preferences
• E) a rise in the number of workers in their prime earning years

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Definitions:

Direct Labor Costs

Expenses associated with employees who directly contribute to the manufacturing or production of goods.

Work in Process

Partially finished goods that are in production but have not yet been completed at a specific point in time.

Cost Ledger

A subsidiary ledger that contains individual accounts for each type of cost, including materials, labor, and overhead, used in process costing systems.

Job Cost Sheet

A document that records the materials, labor, and overhead costs incurred for a specific job or project.