Which of the Following Is True of Minimum-Wage Laws

question 302

Multiple Choice

Which of the following is true of minimum-wage laws?

• A)They affect skilled workers' wages.
• B)They create above-equilibrium wages for some unskilled workers.
• C)They create a shortage of unskilled labor.
• D)They negatively affect the employment of skilled workers.

---

Definitions:

Forecasted Costs

Estimated expenses for future periods based on historical data, trends, and statistical analysis.

Budgeted Costs

Estimated costs associated with a planned activity or project, used for financial planning and control.

Actual Costs

The true expenses incurred in the production of goods or provision of services, as opposed to estimated or budgeted costs.

Process Costing System

An accounting method used to allocate costs to units of product in industries where the production process is continuous and the units of product are indistinguishable from each other.