Which of the Following Would Not Be an Expected Response

question 110

Multiple Choice

Which of the following would not be an expected response from a decrease in the price level and so help to explain the slope of the aggregate-demand curve?

• A)When interest rates fall, In-and-Out Convenience Stores decides to build some new stores.
• B)The exchange rate falls, so French restaurants in Paris buy more Kansas beef.
• C)Tyler feels wealthier because of the price-level decrease and so he decides to remodel his kitchen.
• D)With prices down and wages fixed by contract, Fargo Concrete Company decides to lay off workers.

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Definitions:

Governmental Fund Financial Statements

Financial reports that detail the financial position and results of operations for governmental funds, highlighting revenues, expenditures, and changes in fund balances.

Public Safety

The welfare and protection of the general public, commonly assured by governmental organizations.

Fund Balance Classifications

Categories used to report the net position of government funds under accounting standards, showing restrictions or commitments on fund use.

Restricted Fund Balance

The portion of a fund's balance that is limited in use by external donors, grant conditions, or legal restrictions.