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question 41

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Speech and language:​

Accurately record salaries and wages expenses, including adjustments for payroll periods extending beyond the fiscal year end.
Recognize the enhancing qualities and constraints of useful financial information.
Understand the purpose of an adjusted trial balance and its role in the preparation of financial statements.
Grasp the concepts of relevance and faithful representation in financial reporting.

Definitions:

Consumer Surplus

The discrepancy between the total sum consumers are prepared and able to spend on a good or service and what they ultimately pay.

Equilibrium Price

The market price at which the quantity of goods supplied equals the quantity of goods demanded.

Equilibrium Quantity

The quantity of goods or services supplied that equals the quantity demanded at the market equilibrium price.

Positively Sloped

A line or curve on a graph that increases in value as it moves from left to right, indicating a direct relationship between two variables.

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