The appropriate response is Content Validity. It is a critical research approach term that alludes to how well a test measures the conduct for which it is expected. For instance, suppose your instructor gives you a brain research test on the mental standards of rest.
Answer:
(A) The cash surplus can be used for a variety of purposes. In the short-term, they may replace their car, buy better furniture, or more quickly pay off their home. TRUE
(B)Alternatively, they may purchase stocks and bonds, or increase their savings for future needs. TRUE
(C) Investments in the stock market are generally designed to increase an individual's future wealth, the purchase of bonds typically allows one to at least retain their purchasing power, while investment in savings accounts provide liquidity. FALSE
Explanation:
(A) The currency can be used to anything he owner wants.
(B) Correct, the ecnomics always define that a person after receiving his income has only two option available. It can used in consumer goods. Or it can saved to invest
(C) The reason the stock and bonds exist is to raise fund for companys whichyield a return. The company takes the most benefit from this system as it would be difficult to convince a single peroson to invest a large amount in his business. Through sotck it can ask for fewer amount to more people but, this people will receive an income but it won't become rich for a couple shares.
As this part is not true, then the whole sentence must be catalogate as false.
In comparing money to a share of Microsoft stock held by an individual, we can say, only the money is a means of payment, but both are stores of value.
In order to serve as a medium of exchange, money is very widely accepted as a method of payment. When comparing money to a share of Microsoft stock which is held by an individual, it can be said that money is a means of payment, but here the stock and money both are stores of value.
As a store of value, money is not unique as there are many other stores of value exist, such as stocks, land, works of art etc. Money may not even be the best store of value because it depreciates with inflation.
Hence, money is a means of payment, but together with money, stocks can also be stores of value.
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Answer:
d. depreciation expense
Explanation:
The expenses which are paid by cash reduced the cash balance displayed in the balance sheet
. Like interest to creditors, stockholders dividend, wages expenses, miscellaneous expenses, admin expenses, etc. These expenses can be paid either by cash or by bank account
.
But the depreciation expense is a non - cash expense which reduces the fixed asset balance over the fixed asset useful life. Plus this is shown in the income statement on the debit side. Like this other examples would be goodwill impairment, amortization expenses, etc.
An inferior good is a type of welfare whose demand decreases when consumer income increases or demand increases when consumer income decreases. Therefore, if a consumer considers shirts to be inferior goods, the way he will stop consuming it will be when there is a real increase in his income.
In the case narrated, Alex had an increase in salary and remained working for the same number of hours. This means that with the same job, he will have a higher income, meaning there was a real increase in Alex's income. If he considers the $ 3 shirts a much lower asset, he will lessen the demand for it.
