Economists Consider Tariffs to Be

question 32

Multiple Choice

Economists consider tariffs to be:

• A) necessary.
• B) beneficial to domestic consumers.
• C) harmful to domestic producers.
• D) obstacles that reduce gains from trade.

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Definitions:

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the appropriate period for a correct financial picture.

Prepaid Insurance

Payments made in advance for insurance coverage, which are recorded as an asset and expensed over the period of coverage.

Adjusting Entry

An accounting record made to update the balances of accounts to reflect the true financial position before preparing financial statements.

Unexpired Insurance

The portion of the insurance premium that has not yet expired or been used up, considered a prepaid expense.