Budget Constraints Exist for Consumers Because

question 57

Multiple Choice

Budget constraints exist for consumers because

• A)their utility from consuming goods eventually reaches a maximum level
• B)even with unlimited incomes,they have to pay for each good they consume
• C)they have to pay for goods and they have limited incomes
• D)prices and income are inversely related
• E)demand curves for goods generally slope downward

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Definitions:

Note Collected

The receipt of payment or the collection of a note receivable.

Bank Statement Adjustment

The process of reconciling the difference between a bank's record of an account's balance and the amount shown in the account holder's books.

Company Books Adjustment

The act of making entries or corrections to the financial records of a business to reflect accurate and up-to-date accounting information.

Safe Deposit Box

A secure container, usually found at a bank, where customers can store valuable personal items.