If a Company Reports That Its Quarterly Earnings Will Be

question 3

Multiple Choice

If a company reports that its quarterly earnings will be between $100 million and $125 million depending on the consumer demand,consumer demand is an example of ________ variation.

• A)chance
• B)external
• C)assignable
• D)standard

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Definitions:

Fed's Actions

Measures taken by the Federal Reserve to influence the U.S. economy's money supply and interest rates.

Net Exports

Spending on domestically produced goods by foreigners (exports) minus spending on foreign goods by domestic residents (imports).

Central Bank

An institution that manages a country's currency, money supply, and interest rates, usually with the aim of managing inflation and ensuring financial stability.

Federal Reserve Act

The act of Congress that created the Federal Reserve System in 1913, establishing the central banking system of the United States.