Which of the Following Would Shift the AS Curve Downward

question 130

Multiple Choice

Which of the following would shift the AS curve downward?

• A) A decrease in the price level
• B) A decrease in world oil prices.
• C) An increase in world oil prices.
• D) A natural disaster that raises unit costs for all firms.
• E) A loss of technological capability.

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Definitions:

Investing Activities

Transactions involving the purchase and sale of long-term assets and other investments, not relating directly to the entity's usual line of business.

Noncash Investing

Involves transactions that do not directly involve cash but affect the investing activities of a company; for example, acquiring assets through a trade or a note.

Financing Activity

Transactions related to a company’s financing efforts, including issuing debt, obtaining loans, or issuing shares of stock.

Cash Equivalent

Short-term, highly liquid investments that can be easily converted to a known amount of cash.