Jose and Julia Were Discussing the Necessary Components to Achieve

question 118

Multiple Choice

Jose and Julia were discussing the necessary components to achieve economic growth.Jose stated that the economy must include free markets,specialization and trade,and an ethical judicial system.Julia reminded Jose that another key component is

• A)freedom of speech.
• B)freedom of religion.
• C)a guaranteed high rate of return on savings.
• D)property rights.
• E)democracy.

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Definitions:

Adjusting Entry

A journal entry made in the accounting records at the end of an accounting period to allocate income and expenditure to the appropriate period.

Interest Payable

A liability account on a company's balance sheet representing the amount of interest expense that has been incurred but not yet paid.

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditure to the appropriate period for a more accurate financial report.

Salaries Payable

An accounting liability representing the amounts owed to employees for work performed but not yet paid.