Which of the Following Is False

question 217

Multiple Choice

Which of the following is false?

• A)An increase in labor productivity will shift the demand curve for labor to the right.
• B)An increase in wage will lead to an increase in the supply of labor.
• C)A decrease in the nonwage income of workers would shift the labor supply curve to the right.
• D)If job conditions deteriorate, it would lead to a reduction, or leftward shift, in the labor supply curve.
• E)If the demand for labor increased faster than the supply, the real wages of workers would rise.

---

Definitions:

Cost of Capital

The return a company is required to make on its investments to sustain its market value and appeal to investors.

Risk Level

The degree of uncertainty associated with the return on investment, characterizing the potential for financial loss or gain.

Net Present Value

A method used to evaluate the profitability of an investment, calculating the difference between the present value of cash inflows and outflows over a period.

Cost of Debt

The effective interest rate a company pays on its debts, including bonds, loans, and lines of credit.