Sticky prices is a term used to describe the price of a good or service that is not easily impacted to a change in the economy and their conditions. They stay relative to the price of the item and are used in short-term supply.
Prices can not easily change and implement within a market because you need to consider the economic changes/conditions and the consumer. How it will change things for the market and the consumer are not usually predictable until the price changes. Companies are also not able to judge how competition will fair when there is a change in price.
Answer: 4. The expenses incurred during a period are matched with the revenues that those expenses generated.
Explanation:
The accrual basis of accounting works by matching accounting transactions to the period that they occur in. For instance, if revenue is sold in year 1 but the cash for it is only received in year 2, the revenue will be recorded for year 1.
The matching principle falls under the accrual basis and matches the expenses in a period to the revenue that the expenses generated in that same period. This is why the expenses in the income statement are only those that occurred in the current period and expenses for future periods are put in the balance sheet.
A. Congress
When referring to the Senate and the House of Representatives, it should be capitalized.
Rules protecting private property are some of the most important rules in a free market system, because people need to own resources or assets in order to make free choices.