The Resolution, Which Sets "Binding" Limits on Taxes and Spending

question 9

Multiple Choice

The resolution, which sets "binding" limits on taxes and spending, is supposed to be passed in September.

• A) first budget
• B) second budget
• C) continuing
• D) entitlement
• E) earmark

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Definitions:

Nonlabor Resources

Inputs used in the production of goods and services that do not involve human labor, such as land, machinery, and materials.

Accounting Profits

The total revenue of a business minus the explicit costs; it is the net income reported on the financial statement.

Economic Profits

The difference between total revenue and total costs, including both explicit and implicit costs.