Which of the Following Statements Is True

question 34

Multiple Choice

Which of the following statements is true?

• A)Governments may engage in activities similar to activities engaged in by for-profit entities.
• B)There are a limited number of different types of governments.
• C)All governmental entities engage in the same activities.
• D)Managers may have a long-term focus and thereby sacrifice the short-term liquidity of the entity.

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Definitions:

Spendthrifts

are individuals who spend money imprudently and extravagantly, often depleting their financial resources.

Wealth

The abundance of valuable financial assets or physical possessions which can include money, properties, and natural resources.

Wages

Payments received by employees for their labor or services, typically calculated on an hourly, daily, or weekly basis.

Salaries

Compensation received by employees for their labor or services, typically on an annual, monthly, or hourly basis.