Which of the Following Played a Role in Depressing Aggregate

question 49

Multiple Choice

Which of the following played a role in depressing aggregate demand in 2001?

• A)the end of a stock-market bubble
• B)corporate accounting scandals
• C)the terrorist attacks on September 11 of that year
• D)All of the above are correct.

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Definitions:

Labor Rate Variance

The difference between the actual cost of labor and the expected (or standard) cost, often analyzed in cost accounting or budgeting.

Labor Efficiency Variance

The difference between the actual hours worked and the standard hours allowed for the work done, multiplied by the standard labor rate, indicating the efficiency of labor used in production.

Work in Process Inventory

The cost of unfinished goods in production, including labor, raw materials, and overhead.

PP&E (Net) Account

Property, Plant, and Equipment (Net) account shows the net book value of a company's fixed assets less accumulated depreciation.