If the Wealth of Consumers Increases Substantially,this Would Shift

question 3

Multiple Choice

If the wealth of consumers increases substantially,this would shift

• A)the aggregate supply curve outward
• B)the aggregate demand curve outward
• C)the aggregate demand curve inward
• D)the aggregate supply curve inward
• E)both the aggregate demand and supply curves inward

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Definitions:

Dividends Declared

The action by a company's board of directors to distribute a specified amount of the company’s earnings to its shareholders.

Income Summary

An account to which the revenue and expense accounts are transferred at the end of a period to summarize the results of operations.

Year

A period of time consisting of 365 days (366 in a leap year), used as a basic unit of time for most calendar systems to measure durations and segment accounting periods.

Adjusted Trial Balance

A list of all accounts and their balances after adjusting entries are made, used for preparing financial statements.