The Price for Labor Is the Wage Rate

question 245

Multiple Choice

The price for labor is the wage rate.What happens to the quantity of labor demanded if wages increase?

• A)It increases.
• B)It decreases.
• C)It does not change.
• D)The whole demand schedule shifts to the left.

---

Definitions:

Unearned Revenue

Income received by a business for goods or services yet to be provided; considered a liability until the service or product is delivered.

Recognizes Revenue

The process of recording revenue in the financial statements when it is earned and realizable, following the accrual accounting principle.

Total Assets

The sum of all resources owned by a company, measured in terms of monetary value, as listed on the balance sheet.

Operating Expenses

Costs associated with the day-to-day operations of a business, excluding direct costs of producing goods or services.