A Decrease in the Quantity of Resources

question 46

Multiple Choice

A decrease in the quantity of resources

• A) shifts the PPF leftward.
• B) shifts the PPF rightward.
• C) moves the economy up a given PPF.
• D) moves the economy down a given PPF.

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Definitions:

Discount Period

The time frame within which a buyer can pay less than the full amount due on an invoice if payment is made promptly, often to encourage early payment.

Credit Terms

Conditions under which credit is extended by a lender to a borrower, including the repayment timetable, interest rate, and any other requirements.

Periodic Inventory Method

An inventory accounting method where the inventory balance is updated at specific intervals rather than after each purchase or sale.

Accounts Payable

Liabilities owed by a business to its suppliers or creditors for goods and services received but not yet paid for.