An Increase in Disposable Income

question 271

Multiple Choice

An increase in disposable income

• A) shifts the saving function upward.
• B) results in a movement upward along the saving function.
• C) shifts the saving function downward.
• D) results in a movement downward along the saving function.

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Definitions:

Allowance Account

A contra-asset account used to estimate future uncollectible debts from customers, reducing the total amount of outstanding receivables.

Gross Accounts Receivable

The total amount of money owed to a company by its customers before deducting any allowance for doubtful accounts.

Date Violence

Refers to physical, sexual, psychological, or emotional violence within a dating relationship, including stalking.

Date Rape

A form of sexual assault where the perpetrator and victim have a prior acquaintance or are on a social outing together when the assault occurs.