The Disposal of a Significant Component of a Business Is

question 45

Multiple Choice

The disposal of a significant component of a business is called

• A) A change in accounting principle
• B) A special item of income from continuing operations item
• C) An other expense
• D) Discontinued operation

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Definitions:

Demand Function

A mathematical equation that describes the relationship between the quantity of a good consumers are willing to buy and the good’s price, holding other factors constant.

Supply Function

A mathematical expression that shows the relationship between the quantity of a good supplied by producers and the price of the good.

Equilibrium Quantity

The quantity of goods or services that is supplied and demanded at the equilibrium price in a market.

Equilibrium Price

The price at which the quantity of a good or service demanded by consumers is equal to the quantity supplied by producers, resulting in market stability.