Figure 20-2. -Refer to Figure 20-2. the Shift of the Short-Run Aggregate-Supply

question 247

Multiple Choice

Figure 20-2.
-Refer to Figure 20-2. The shift of the short-run aggregate-supply curve from AS₁ to AS₂

• A)could be caused by an outbreak of war in the Middle East.
• B)could be caused by a decrease in the expected price level.
• C)causes the economy to experience an increase in the unemployment rate.
• D)causes the economy to experience stagflation.

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Definitions:

Truck Purchase

The acquisition of a truck, which is a capital investment and may be classified as a fixed asset on the balance sheet.

Office Supplies

Items and materials used in offices for daily work activities, including paper, pens, and office equipment.

Office Equipment

Fixed assets that are used in an office environment for the purpose of performing business operations, including computers, printers, and furniture.

Journal Entry

A record in accounting that represents a transaction in the ledger.