Suppose a Production Possibilities Frontier (PPF)has Been Plotted on a Graph.If

question 22

Multiple Choice

Suppose a production possibilities frontier (PPF) has been plotted on a graph.If the horizontal axis of the graph measures the output of capital goods and the vertical axis measures the output of consumer goods,then a point inside the PPF represents:

• A)a larger quantity of capital goods than that represented by a point along the PPF.
• B)an inefficient output combination of the two goods in the economy.
• C)an unattainable output combination of the two goods in the economy.
• D)an output combination of more consumer goods than capital goods.
• E)a larger quantity of consumer goods than that represented by a point along the PPF.

Recognize the importance of segregation of duties and its impact on preventing fraud and errors in financial statements.

Identify the role and importance of external and internal audits in maintaining financial integrity.

Comprehend the procedures and benefits of using electronic funds transfers for improved cash management.

Understand the implications of errors and fraud on financial statements and the difference between them.

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Definitions:

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A dividend payment to shareholders in the form of additional shares of stock, rather than cash.

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The nominal or face value of a bond, share of stock, or coupon as indicated on the certificate. It is a legal amount per share that represents the minimum stock value.

Market Value

The prevailing cost to purchase or dispose of an asset or service in the market.

No-Par

Refers to stocks issued without a par value; no minimum value is assigned to these shares.