The Wage Rate Rises

question 121

Multiple Choice

The wage rate rises.As a result,in the short run Real GDP will __________ and the price level will __________.

• A) rise; rise
• B) fall; fall
• C) remain constant; fall
• D) fall; rise
• E) rise; fall

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Definitions:

Journalize

The act of recording business transactions in the journal as part of the accounting process.

Merchandise Sold

Products that have been sold by a company, typically referring to goods rather than services.

Sales On Account

Transactions where goods or services are sold and delivered, but payment is agreed to be made at a later date.

Internal Controls

Processes and procedures implemented by a business to safeguard its assets, enhance the reliability of its accounting records, ensure compliance with laws, and promote efficient operations.