Choose the Word or Phrase in [ ] Which Will

question 71

Short Answer

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The primary determinant of your standard of living is your [wealth | propensity to consume].

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Definitions:

Interest-Bearing Note

A debt instrument or loan that accrues interest over time, which the borrower is required to pay.

Note Payable

A written promise to pay a specific sum of money to a creditor at a future date, often including interest payments.

Discount

A reduction in the price of goods or services, typically offered to stimulate sales or to reward customer loyalty.

Normal Credit Balance

Refers to the expected positive balance in accounts that primarily capture credits, such as liabilities, revenues, and equity accounts.