Which of the Following Statements Is True

question 100

Multiple Choice

Which of the following statements is true?

• A) In both black markets and legal markets, supply and demand determine price.
• B) The quality of products sold in black markets and legal markets are similar.
• C) The price of products in black markets tends to be the same as those in legal markets for otherwise identical products.
• D) The rate of violence is similar in black markets and legal markets.

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Definitions:

Accounts Receivable

The money owed to a company by its customers for goods or services that have been delivered but not yet paid for.

Permanent Account

An account in the general ledger that carries its ending balance over to the next accounting period, such as assets, liabilities, and equity accounts.

Balance Sheet Accounts

Accounts that appear on the balance sheet, representing the company's assets, liabilities, and shareholders' equity at a specific point in time.

Mortgage Payable

A liability account that records the amount owed on a long-term property loan.