Which of the Following Is Not a Component of the Index

question 60

Multiple Choice

Which of the following is not a component of the Index of Leading Economic Indicators?

• A) an index of 300 common stock prices
• B) employment in business and personal services
• C) an index of consumer imports from industrial countries
• D) average work week in manufacturing

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Definitions:

Par Value

A nominal value or face value assigned to a share of stock by the company’s charter.

Acquisition Method

The accounting method used to consolidate the financial statements of a parent company and its acquired subsidiary.

Business Combinations

Occurs when one company acquires control over another, either through the purchase of shares, assets, or a merger.

Pooling of Interests

An accounting method used in business combinations that treats the entities as if they have been combined retroactively, distributing the equity shares among the combined entity's shareholders.