Labor Unions

question 38

Multiple Choice

Labor unions

• A)raise wages in unionized industries.
• B)create labor shortages in non-unionized industries.
• C)play a larger role in the current U.S.economy than in European countries such as Norway and Sweden.
• D)prefer to operate in states with right-to-work laws.

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Definitions:

Owner's Equity

The residual interest in the assets of the entity after deducting liabilities, representing the ownership interest in the company.

Salaries

Compensation paid to employees for work performed, often expressed as an annual sum or hourly wage.

Net Income

The total profits of a company after all expenses and taxes have been deducted from total revenues.

Owner's Drawings

The act of an owner drawing funds from a business in a sole proprietorship or partnership for personal needs.