Everything Else Held Constant,if Aggregate Output Is to the ________

question 12

Multiple Choice

Everything else held constant,if aggregate output is to the ________ of the LM curve,then there is an excess demand of money which will cause the interest rate to ________.

• A)right;fall
• B)right;rise
• C)left;fall
• D)left;rise

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Definitions:

Average Cost

An inventory costing method where the cost of goods sold and ending inventory is determined by taking the weighted average of all units purchased.

Periodic Inventory

A method of inventory accounting where updates to inventory levels are made periodically, often at the end of the fiscal year.

Ending Inventory

The total value of goods available for sale at the end of an accounting period, calculated by adding purchases to beginning inventory and subtracting cost of goods sold.

LIFO

An inventory valuation method standing for Last In, First Out, where the most recently produced or acquired items are the first to be sold.