Which of the Following Is Not a Positive Statement

question 24

Multiple Choice

Which of the following is not a positive statement?

• A) The federal minimum wage was recently increased to $7.25.
• B) Ceteris paribus,an increase in wages increases the quantity of workers supplied.
• C) Minimum wage laws are not Pareto efficient.
• D) An increase in the minimum wage hurts the profits of small businesses.
• E) A decrease in the labor force due to the swine flu will cause the equilibrium wage to increase.

Understand the principles of stock appreciation rights (SARs) compensation plans and their measurement and exercise dates.

Calculate compensation expense related to stock appreciation rights (SARs) and stock options.

Interpret the accounting treatments for compensatory and performance-based stock option plans.

Analyze the impact of employee turnover on compensation expense calculations.

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Definitions:

Preoperational

A stage in Piaget's theory of cognitive development, typically from ages 2 to 7, where children begin to engage in symbolic play and struggle with logic and taking the perspective of others.

Postformal Operational

A stage of cognitive development proposed to follow Piaget's formal operational stage, characterized by the ability to deal with complex, ambiguous, and contradictory information.

Personal Fable

A manifestation of adolescent egocentrism in which adolescents believe their thoughts, feelings, and experiences are more special and unique than anyone else’s, as well as the sense that they are invulnerable.

Imaginary Audience

A manifestation of adolescent egocentrism in which they assume that they are the focus of others’ attention.