Which of the Following Will Cause Net Exports to Rise

question 12

Multiple Choice

Which of the following will cause net exports to rise?

• A)A depreciation of the domestic currency
• B)A fall in foreign income
• C)Higher foreign tariffs on domestic goods
• D)Inflation in domestic economy
• E)A depreciation of the foreign currency

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Definitions:

Materials

Raw substances or components that are used in the manufacturing process to produce goods.

Processing Cost

This is the expense incurred during the operation of converting raw materials into finished products, including labor and overhead costs.

Work in Process

Inventory that includes the materials, labor, and overhead costs for products that are in the production process but not yet complete.

Equivalent Units

A measure used in cost accounting to express the amount of work done on incomplete units in terms of complete units.