A Change in Which of the Following Variables Will Have

question 43

Multiple Choice

A change in which of the following variables will have NO direct effect on the level of domestic demand?

• A)domestic income
• B)the real exchange rate
• C)government spending
• D)the interest rate (r)
• E)none of the above

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Definitions:

Finished Goods Account

An account used to track the value of products that are completed and ready for sale.

Factory Overhead Ledger

An accounting ledger that details the indirect costs associated with manufacturing, which may include utilities, depreciation, and salaries of non-direct labor.

Unit Costs

The cost associated with a single unit of product or service, including all costs incurred to produce, deliver, and sell the product.

Job Order Cost Systems

An accounting method that assigns costs to specific batches or job orders, tracking the direct materials, direct labor, and manufacturing overhead per job.