If Interest Rates Fall

question 173

Multiple Choice

If interest rates fall,

• A)the demand curve for loans will shift out.
• B)the discounted value now of money to be received in the future will fall.
• C)some previously unprofitable prospective investments will become profitable.
• D)the supply curve for loanable funds will shift in.

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Definitions:

Operations

A series of actions or activities conducted in a business or system to produce or achieve certain results or goods.

Job-Order Costing

A costing system that tracks costs individually for each job, suitable for manufacturing or service sectors that produce unique products or services.

Unadjusted Cost of Goods Sold

The total cost attributed to products that have been sold over a period, without any adjustments for inventory changes or other factors.

Journal Entry

A record in accounting that represents every individual transaction made by a company, documented in the chronological order.