An Increase in the Number of Students Graduating with a Major

question 138

Multiple Choice

An increase in the number of students graduating with a major in engineering would result in

• A) a decrease in the supply of engineers that would increase the wage of engineers and decrease the number employed.
• B) an increase in the supply of engineers that would decrease the wage of engineers and increase the number employed.
• C) a decrease in the demand for engineers that would decrease the wage of engineers and decrease the number employed.
• D) an increase in the demand for engineers that would increase the wage of engineers and increase the number employed.

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Definitions:

Commercial Substance

A transaction has commercial substance if it significantly changes the economic position or cash flows of the entity.

Future Cash Flows

The projected cash receipts and payments a company expects over a future period, essential for investment and financial planning.

Patent Account

An account on the balance sheet that represents the cost of purchasing patents or the expenses incurred in securing patents.

Successful Product

A product that achieves significant sales, profitability, and/or market share goals.