Economists Who View the AS Curve as Vertical Believe That

question 51

Multiple Choice

Economists who view the AS curve as vertical believe that government ________________ to raise Real GDP (in the short run) from the demand side of the economy.Economists who view the AS curve as upward-sloping believe that changes in Real GDP (in the short run) _________ result from changes on the demand side.

• A) can do many things; cannot
• B) cannot do anything; may
• C) can do many things; may
• D) cannot do anything; cannot

Calculate the correct amount to be shown in the investment account based on dividends received and percentage of ownership.

Identify the relationship and accounting treatment for parent and subsidiary companies.

Understand the accounting valuation and presentation of short-term investments on the balance sheet.

Recognize the requirement and presentation of unrealized gains or losses on investments and their effect on financial statements.

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Definitions:

Inventory

The total amount of goods and materials held by a business for the purpose of resale, manufacturing, or repair.

Purchases Discount

A reduction in the price of goods that a buyer can avail of for making early payments to the supplier.

Yearly Savings Rate

The percentage of an individual's or household's income that is saved rather than spent over the course of a year.

FOB Shipping Point

A term in shipping contracts that specifies that the buyer is responsible for the cost and risk of transporting goods from the point of origin as soon as they are loaded onto the transport vehicle.