An Increase in the Expected Price of Corn Would Likely

question 174

Multiple Choice

An increase in the expected price of corn would likely do the following to the current supply and demand for corn:

• A) increase both the demand and the supply.
• B) decrease both the demand and the supply.
• C) increase the demand,but decrease the supply.
• D) increase the supply,but decrease the demand.

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Definitions:

Purchases Journal

A record keeping document used to note all credit purchases of inventory and other items made by a company.

Establishment of Responsibility

An internal control principle focusing on assigning specific responsibilities to particular employees to reduce errors and fraud.

Segregation of Duties

An internal control measure where no single individual is given too much responsibility in areas of financial reporting, transaction processing, or asset management to prevent fraud and errors.

Documentation Procedures

The methods and practices used for creating, managing, and safeguarding documents within an organization.