Which of the Following Is Correct

question 105

Multiple Choice

Which of the following is correct?

• A)The nominal wage may fall, but the real wage can never decline.
• B)The real wage may fall, but the nominal wage can never decline.
• C)Both the nominal and the real wage must always rise.
• D)The nominal and the real wage may both fall.

---

Definitions:

Net Income

The total profit or loss of a company after deducting all expenses, taxes, and costs from total revenue.

Accounting Period

The span of time at the end of which the financial position of a business is calculated and reported, typically a month, quarter, or year.

Unexpired Insurance

The portion of an insurance premium that has not yet expired during the policy period.

Fiscal Period

A specific time period for which an organization prepares financial statements, typically a year, but can also be a quarter or month.