Which of the Following Statements About the Gold Standard Is

question 49

Multiple Choice

Which of the following statements about the gold standard is true?

• A) All economies follow it.
• B) It permits countries to print as much paper money as they want.
• C) The United States follows it.
• D) In 1971, the United States dropped the gold standard.

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Definitions:

Cash Inflow

Money or equivalent value received by a business during a specific period, including revenues from sales, financing, and investment activities.

Financing Activities

Cash flow activities that include (a) obtaining cash from issuing debt and repaying the amounts borrowed and (b) obtaining cash from stockholders, repurchasing shares, and paying dividends.

Investing Activities

Financial transactions related to acquiring or selling investments and long-term assets, detailed in a company's cash flow statement.

Cash

Cash refers to the amount of currency a business or individual has on hand, including money in bank accounts and liquid securities.