Which of the Following Terms Refers to an Actual Cost

question 71

Multiple Choice

Which of the following terms refers to an actual cost rather than an estimate?

• A) Budget.
• B) Encumbrance.
• C) Expenditure.
• D) Appropriation.

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Definitions:

Interest Rates

The cost of borrowing money or the reward for saving, typically expressed as a percentage.

Nationalize

The process by which a government takes control of a private industry or assets and transforms it into state ownership.

Profit Maximization

The technique a corporation employs to determine the pricing and level of output that maximizes earnings.

Vicious-Circle-Of-Poverty

A self-perpetuating condition where poverty leads to circumstances that perpetuate poverty, making it difficult to break the cycle.