The Trough of a Contraction Is

question 342

Multiple Choice

The trough of a contraction is

• A) the point in time at which the level of national business activity reaches a minimum before expanding again.
• B) the point in time at which the level of national business activity reaches a maximum before contracting again.
• C) the rate at which the level of business activity is declining.
• D) an external shock that causes economic activity to decline.

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Definitions:

Misc. Expense

Miscellaneous Expense refers to small, infrequent costs that are not categorized under a specific heading in financial statements.

Misc. Revenue

Miscellaneous revenue refers to income generated from activities not central to a business’s main operations.

Change Fund

Fund made up of various denominations that are used to make change for customers.

Contra-Asset

A contra-asset account is an asset account where the account balance is a negative amount. It's used to offset the value of the asset account it is associated with, such as accumulated depreciation.