Figure 16-2 -Refer to Figure 16-2.In the Graph Above,if the Economy Is

question 212

Multiple Choice

Figure 16-2
-Refer to Figure 16-2.In the graph above,if the economy is at point A,an appropriate fiscal policy by the Congress and the president would be to

• A)decrease the required reserve ratio.
• B)sell government securities.
• C)increase government expenditures.
• D)decrease transfer payments.

---

Definitions:

Internal Controls

Procedures and policies implemented by a company to safeguard its assets, enhance the reliability of its accounting records, ensure compliance with laws, and achieve effective and efficient operations.

Fraud Triangle

A model explaining the factors that cause someone to commit occupational fraud, consisting of opportunity, pressure, and rationalization.

Rationalization

The process of reorganizing a company to increase efficiency or reduce costs, often involving layoffs and restructuring.

Opportunity

In business, an opportunity refers to a favorable situation or circumstance that can be leveraged for potential growth or profit.