To Minimize the Effect of Short-Term Political Pressure on the Fed's

question 130

Multiple Choice

To minimize the effect of short-term political pressure on the Fed's Board of Governors,the governors are all appointed to their terms:

• A)in different years,and their terms are long.
• B)in different years,and their terms are short.
• C)in the same year,and their terms are long.
• D)in the same year,and their terms are short.
• E)in the same year,and their terms are shorter than that of the chairman of the Federal Reserve Board.

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Definitions:

Bonus Method

A method in accounting for partnerships where a new partner's investment is recorded at an amount that is different from the stated value of the partnership's net assets, affecting the capital accounts of the existing partners.

Journal Entry

A journal entry is a record of a business transaction in the accounting books, detailing the financial effects of that transaction.

Net Income

The company's net income following the deduction of all costs and taxes from its earnings.

Income-Sharing Ratio

The proportionate distribution of profit or loss among partners in a partnership according to their agreed percentages.