A Recession Is Characterized By

question 63

Multiple Choice

A recession is characterized by:

• A) a period of significant increase in economic activity.
• B) falling GDP.
• C) constant unemployment.
• D) an increase in the overall price level.

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Definitions:

Earnings Per Share

A financial metric that calculates the portion of a company's profit allocated to each outstanding share of common stock.

Price-earnings Ratio

A valuation ratio of a company's current share price compared to its per-share earnings.

Bonds Payable

A financial accounting term that refers to the bonds a company has issued that must be repaid at a future date.

Earnings Per Share

A company's net profit divided by the number of its outstanding shares, indicating the profitability per share of stock.