Scenario: Suppose an Economy Consists of Only the Following Economic

question 139

Multiple Choice

Scenario: Suppose an economy consists of only the following economic agents: 2 million full-time workers, 1 million part-time workers, 1 million people who have been laid off by their employers but are currently looking for employment, 1 million children aged 15 years or younger, and 2 million housewives not looking for jobs.
-Refer to the scenario above.What is the number of employed workers in the economy?

• A) 1 million
• B) 2 million
• C) 3 million
• D) 4 million

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Definitions:

Analyze Each Transaction

The process of closely examining financial transactions to ensure they are accurately recorded in the correct accounts.

Journal

A journal is a detailed account that records all the financial transactions of a business, to be used later for classifying and summarizing into financial statements.

Ledger Accounts

A record in accounting that is used to aggregate monetary transactions by account, monitoring debits and credits over a period.

Journal Entries

The recorded transactions in the financial books of a company, serving as the initial step in the accounting cycle.