When Taxes Increase,consumption

question 91

Multiple Choice

When taxes increase,consumption

• A)decreases as shown by a movement to the left along a given aggregate-demand curve.
• B)decreases as shown by a shift of the aggregate demand curve to the left.
• C)increases as shown by a movement to the right along a given aggregate-demand curve.
• D)increases as shown by a shift of the aggregate demand curve to the right.

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Definitions:

Bank Loan Payable

Bank loan payable is a liability account that reflects the amount of money borrowed from a bank by a company or individual that is yet to be repaid.

Machinery

Consists of the machines and equipment designed to perform specific tasks in industrial, commercial, or agricultural applications.

Accounts Receivable

Amounts owed to a company by customers for goods or services delivered on credit.

Ledger

A comprehensive collection of all accounts used by an organization, summarizing all transactions occurring within an accounting period.