Which of the Following Is a Common Assumption That Economists

question 8

Multiple Choice

Which of the following is a common assumption that economists make about the behaviour of elected officials?  

• A) that elected officials try to maximize the size of their government salaries 
• B) that elected officials try to maximize their control over the budget process 
• C) that elected officials try to maximize the number of votes they receive in the next election 
• D) that elected officials try to maximize the government's expenditures

Comprehend the adjustments to depreciation expense within the consolidation process for intra-entity transfers of a depreciable asset.

Discuss the effect of downstream transfers on the noncontrolling interest within consolidated financial statements.

Understand the reasons behind the frequent occurrence of intra-entity transfers in business combinations.

Determine when the gain on an intra-entity transfer of land is recognized in consolidated net income.

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Definitions:

Doctrine of Stability

A legal principle that aims to maintain long-term contracts or agreements to ensure reliability and predictability in business or international relations.

Constitutions

Constitutions are fundamental principles or precedents according to which a state or other organization is acknowledged to be governed.

Statutes

Laws enacted by legislative bodies at any level of government.

Regulations

Rules or directives made and maintained by an authority to regulate conduct or enforce policies.