Consider the Exhibit Below for the Following Questions

question 103

Multiple Choice

Consider the exhibit below for the following questions.
Figure 33-4
-Refer to Figure 33-4.If the economy is at A and there is a fall in aggregate demand,in the short run the economy

• A)stays at A.
• B)moves to B.
• C)moves to C.
• D)moves to D.

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Definitions:

FOB Shipping Point

A term used in shipping contracts to indicate that the buyer is responsible for the cost of transporting the goods from the shipping point.

Invoice Amount

The total sum of money requested by a vendor from a purchaser for goods delivered or services provided.

Merchandise

Goods that are bought and sold in any business, particularly in retail.

Freight Charge

The cost incurred for transporting goods between places, typically charged by carriers for shipments.