Which of the Following Statements Is True

question 115

Multiple Choice

Which of the following statements is true?

• A) Productivity is calculated as hours worked divided by output produced.
• B) Americans have a higher standard of living than Indonesians because American workers are more productive than Indonesian workers.
• C) Trends in the market prices of most resources indicate that they have become increasingly scarce over time.
• D) All of the above are correct.

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Definitions:

Normal Balance

The usual debit or credit balance that an account type is expected to have, which helps in ensuring the correct recording of transactions.

Debit

An accounting entry that results in either an increase in assets or a decrease in liabilities on a company's balance sheet.

Dividends Declared

Profits distributed by a company to its shareholders, usually determined by the board of directors, and not yet paid out.

Normal Balance

The side (debit or credit) of an account that is typically increased; for assets and expenses, it's a debit; for liabilities, equity, and revenue, it's a credit.