Which of the Following Is an Example of a Positive

question 90

Multiple Choice

Which of the following is an example of a positive statement?

• A)if welfare payments increase, the world will be a better place
• B)prices rise when the government prints too much money
• C)inflation is more harmful to the economy than unemployment
• D)the benefits to the economy of improved equity are greater than the costs of reduced efficiency

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Definitions:

Economic Life

The estimated period over which an asset is expected to be economically useful to the owner.

Cost of Capital

The rate of return a company must earn on its investment projects to maintain its market value and attract funds.

Annual Rate of Return

The percentage of profit or loss on an investment over one year.

Accounting Data

Information and records concerning the financial transactions and status of a business, including ledgers, journals, financial statements, and more.