There Is a Technological Advance in the Production of Digital

question 107

Multiple Choice

There is a technological advance in the production of digital watches. This will cause:

• A) demand to increase.
• B) supply to increase.
• C) the price to increase.
• D) supply to decrease.

---

Definitions:

An Expense

Costs incurred by a business in the process of earning revenue, directly impacting the company's net income.

Amortization Of Discount

The process of gradually recognizing the discount on bonds payable as interest expense over the life of the bond.

Bond Interest Expense

The cost incurred by an issuer of bonds due to the interest it must pay to bondholders over the life of the bond.

Carrying Value

The book value of assets and liabilities as reported on the balance sheet, considering depreciation, amortization, or impairment.