Which of the Following Best Describes the Philosophy of Functional

question 24

Multiple Choice

Which of the following best describes the philosophy of functional finance?

• A)The federal budget should be balanced each year.
• B)A federal budget deficit should be permitted only during a business expansion.
• C)A federal budget deficit should be permitted only during a recession.
• D)Policy makers should focus on keeping the unemployment rate at the natural rate,even if this means budget deficits.
• E)Policy makers should be less concerned about budget deficits and more concerned with increasing the natural rate of unemployment.

Understand the concept of process capability index and its application in evaluating process performance relative to specifications.

Understand the fundamental principles of accounting, including the going concern assumption and the business entity assumption.

Identify which accounts contribute to the calculation of net income and understand how different transactions affect it.

Analyze and calculate changes in equity from given financial information.