Author Question: What does unlimited liability mean? A) The personal assets of the owners cannot be claimed if the ... (Read 79 times)

karen · **on:** Jun 29, 2018

What does unlimited liability mean?

A) The personal assets of the owners cannot be claimed if the business is bankrupt.
B) Only employees can have a claim on the assets of the business.
C) The owners of the business are personally responsible for paying expenses incurred by the business.
D) Anybody with a liability against a firm can claim up to three times their liability.

Question 2

Refer to Figure 16-5. In the dynamic model of AD-AS in the figure above, if the economy is at point A in year 1 and is expected to go to point B in year 2, and no fiscal or monetary policy is pursued, then at point B

A) the unemployment rate is very low.
B) the economy is above full employment.
C) firms are operating below capacity.
D) income and profits are rising.
E) there is pressure on wages and prices to rise.