A Recession Is Generally Caused By

question 115

Multiple Choice

A recession is generally caused by:

• A) an increase in aggregate demand.
• B) a decrease in aggregate demand.
• C) an increase in aggregate supply.
• D) a decrease in aggregate supply.

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Definitions:

Net Cash Inflow

The difference between the cash received and cash expended in a given period, resulting in an increase in cash holdings.

Financing Activities

Cash flows related to actions that alter the equity or borrowings of an entity, reflecting how a business funds its operations and investments.

Issue of Shares

The issue of shares refers to the process by which a company distributes new shares to shareholders, which can raise capital for the company.

AASB 101

An Australian Accounting Standard Board regulation that sets out the overall requirements for the presentation of financial statements, guidelines for their structure, and minimum requirements for their content.