Select the Incorrect Statement from the Following

question 19

Multiple Choice

Select the incorrect statement from the following:

• A)The liability of shareholders to contribute to the debts of an insolvent company is limited
• B)A sole proprietorship is an accounting entity
• C)Individual partners are personally liable for partnership debts
• D)Partnerships are regarded as separate legal entities

Identify the instruments and accounts used for savings and their features including certificates of deposit, money market accounts, and savings accounts.

Grasp the importance of security features in the physical design of money to protect against counterfeiting.

Understand the effects of inflation on money and its purchasing power.

Comprehend the penalties and terms associated with early withdrawal from savings instruments.

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Definitions:

Normal Good

A good for which demand increases when consumer income rises, and decreases when consumer income falls.

Inferior Good

A type of good for which demand decreases as the income of consumers increases, and vice versa.

Complementary Goods

Products or services that are typically consumed together, where the increase in demand for one leads to an increase in demand for the other.

Substitute Goods

Products or services that can be used in place of each other, where the increase in the price of one leads to an increase in demand for the other.