Holding All Other Variables Constant, an Increase in Net Income

question 114

Multiple Choice

Holding all other variables constant, an increase in net income can be caused by a decrease in:

• A)depreciation expense.
• B)the cost ratio.
• C)the tax rate.
• D)Both a and c
• E)a, b, and c are correct.

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Definitions:

Industrially Advanced Nations

Countries that have highly developed industries, technological infrastructure, and a high standard of living.

LDCs

Less Developed Countries; nations with low levels of economic development, often measured by gross domestic product (GDP) per capita, industrialization, and living standards.

Economic Development

The process of improving economic well-being and quality of life through growth and restructuring of an economy's sectors.

Birth Rate

The number of live births per thousand people in a population over a given period of time.