Figure 18-5 -Refer to Figure 18-5. When the Relevant Labor Supply Curve

question 73

Multiple Choice

Figure 18-5
-Refer to Figure 18-5. When the relevant labor supply curve is S₁, and the labor market is in equilibrium, the

• A)wage is W₂.
• B)opportunity cost of leisure to workers is W₂.
• C)marginal product of labor to firms is W₁.
• D)value of the marginal product of labor to firms is W₁.

---

Definitions:

Bank Reconciliation

The process of matching and balancing figures in accounting records with those displayed on a bank statement.

Outstanding Checks

Checks that have been written and recorded in the account ledger but have not yet been cashed or cleared by the bank.

Debit Memorandum

A document issued by a buyer to a seller indicating a deduction from the amount payable to the seller, often due to returned goods or errors.

Internal Control Problems

Issues or weaknesses in a company's processes that threaten its ability to ensure accurate financial reporting, compliance with laws, and effective and efficient operations.