Leisure Is Considered a Normal Good, Since People

question 214

Multiple Choice

Leisure is considered a normal good, since people:

• A)consume more of it all the time.
• B)cannot consume more, since it is limited.
• C)consume more of it when their incomes rise.
• D)find it to be a luxury to take time off from their jobs.

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Definitions:

Straight-Line Depreciation

A method of allocating the cost of a tangible asset over its useful life in a linear fashion, resulting in a constant annual depreciation expense.

Tax Rate

The percentage at which an individual or corporation is taxed by the government, applicable to income, capital gain, or other taxable bases.

IFRS 8

An International Financial Reporting Standard that requires companies to report financial information by business segment to provide a clearer understanding of a company’s performance.

Operating Segment

A component of an enterprise that engages in business activities earning revenues and incurring expenses, whose operating results are regularly reviewed by the enterprise's chief operating decision maker.