The Aggregate Supply Curve Shows

question 87

Multiple Choice

The aggregate supply curve shows

• A) the total amount of planned production for an economy.
• B) the various quantities of goods consumers will purchase.
• C) that real GDP can only increase when the price level increases.
• D) what an economy can produce if resource prices are constant.

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Definitions:

Operating Expenses

Expenses incurred during the normal functioning of a business, excluding the cost of goods sold; these can include salaries, rent, utilities, and marketing expenses.

Closing Entries

journal entries made at the end of an accounting period to transfer temporary account balances to permanent accounts, thereby preparing the accounts for the next period.

Capital Account

A financial statement that shows the changes in a company's equity throughout an accounting period, including contributions from and distributions to owners.

Withdrawals Account

An account used to track money taken out of a business by its owner(s) for personal use.