When Halim Was Deciding on the Activities That Would Be

question 124

Multiple Choice

When Halim was deciding on the activities that would be involved in the business and establishing the goals and objectives, he was performing the _____ function of management.

• A)planning
• B)organizing
• C)leading
• D)controlling
• E)staffing

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Definitions:

Simple Spending Multiplier

The ratio of a change in output to a change in autonomous spending that initiated the change, representing how spending circulates through an economy.

Marginal Propensity

The portion of additional income that an individual is likely to spend on goods and services instead of saving.

Price Level

The average of current prices across the entire spectrum of goods and services produced in the economy, which can affect purchasing power and inflation.

Aggregate Expenditure Line

A graphical representation of the total spending in an economy, including consumption, investment, government, and net exports, at various levels of income.