Which of the Following Statements About Positive Economic Analysis Is

question 111

Multiple Choice

Which of the following statements about positive economic analysis is true?

• A)Positive analysis uses an economic model to estimate the costs and benefits of different course of actions.
• B)There is much less disagreement among economists over normative economic analysis than over positive economic analysis.
• C)There is much more disagreement among economists over positive economic analysis than over normative economic analysis.
• D)Unlike positive economic analysis,normative economic analysis can be tested.

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Definitions:

Income Tax Expense

The amount of money a company owes in taxes based on its taxable income for a given period.

Income Taxes Payable

Represents the amount of taxes on income that a company owes to the government but has not yet paid.

Accounts Payable

Short-term financial obligations to suppliers or creditors for goods and services received but not yet paid for.

Equipment

Tangible assets used in the operation of a business, not intended for sale.