The Minimum Wage

question 62

Multiple Choice

The minimum wage

• A)creates frictional unemployment.Efficiency wages create structural unemployment.
• B)creates structural unemployment.Efficiency wages create frictional unemployment.
• C)and efficiency wages both create structural unemployment.
• D)and efficiency wages both create frictional unemployment.

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Definitions:

Current Liability

Financial obligations due by a company within a year, including loans, accounts payable, and other short-term debts.

Current Asset

Assets that are expected to be converted into cash, sold, or consumed within one year or within the normal operating cycle of the business, whichever is longer.

Asset Turnover Ratio

A financial metric that measures the efficiency of a company in generating sales revenue from its investments in assets.

Perpetual Inventory System

A system for inventory accounting that immediately records inventory transactions, whether it's a sale or purchase, through computerized point-of-sale systems and software for managing enterprise assets.