An Increase in Rent Will Ordinarily Lead to

question 36

Multiple Choice

An increase in rent will ordinarily lead to

• A)an increase in usage of land that was formerly idle.
• B)a decrease in total land employed.
• C)less-intensive usage of land.
• D)a decrease in the income of landlords.

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Definitions:

Debt Principal

The original amount of money borrowed or the remaining balance of a loan, exclusive of interest.

Double-Entry Bookkeeping

An accounting system where every transaction affects at least two accounts to maintain a balanced set of financial records.

Cash Balance

The total amount of cash or cash equivalents that a company or individual has available at any given point in time.

Stockholders' Equity

The residual interest in the assets of a corporation that remains after deducting its liabilities.