If Total Spending Rises from One Year to the Next,then

question 13

Multiple Choice

If total spending rises from one year to the next,then which of the following could not be true?

• A)the economy is producing a smaller output of goods and services,and goods and services are selling at higher prices.
• B)the economy is producing a larger output of goods and services,and goods and services are selling at lower prices.
• C)the economy is producing a larger output of goods and services,and goods and services are selling at higher prices.
• D)the economy is producing a smaller output of goods and services,and goods and services are selling at lower prices.

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Definitions:

Partnership Liabilities

Debts or obligations for which partners in a business are mutually responsible.

Partnership Capital

The total resources contributed by partners to a partnership for carrying out its business activities.

Limited Liability Company

A Limited Liability Company (LLC) merges the partnership or sole proprietorship's benefit of pass-through taxation with a corporation's feature of limited liability.

Business Form

The legal structure or organization of a business, such as sole proprietorship, partnership, corporation, or limited liability company (LLC).