Components of a Consumer's Income Include

question 74

Multiple Choice

Components of a consumer's income include

• A)inflation, recession, and recovery.
• B)salary, wages, commissions, and fees.
• C)gross, disposable, and discretionary incomes.
• D)base salary, income taxes, and property taxes (when applicable).
• E)liquidity items, liabilities, and assets.

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Definitions:

Productive Assets

Assets that are utilized in the production process to generate revenue, including machinery, buildings, and equipment.

Investing Activities

Financial transactions related to the acquisition or sale of long-term assets and other investments not considered cash equivalents.

Direct Method

An accounting practice for presenting cash flows from operating activities by listing major classes of gross cash receipts and payments.

Operating Activities

Business actions involving the primary operations and transactions of a company.