If Government Spending and the Price Level Increase,then

question 158

Multiple Choice

if government spending and the price level increase,then

• A)the interest rate increases,consumption declines,and investment spending declines.
• B)the interest rate decreases,consumption declines,and investment spending declines.
• C)the interest rate increases,consumption increases,and investment spending increases.
• D)the interest rate decreases,consumption increases,and investment spending increases.

---

Definitions:

Fees Revenue

Income earned from providing services, as opposed to selling goods.

Accumulated Depreciation

The total amount of a tangible asset's cost that has been allocated to depreciation expense since the asset was put into use.

Fees Earned

Revenue earned from providing services, as opposed to selling goods.

Income Summary

An account used in the closing process that summarizes the revenues and expenses of an accounting period.