Which of the Following Statements Is True

question 131

Multiple Choice

Which of the following statements is true?

• A) Capital and gross private investment are flow variables.
• B) Capital and gross private investment are stock variables.
• C) Capital is a stock variable while gross private investment is a flow variable.
• D) Capital is a flow variable while gross private investment is a stock variable.

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Definitions:

Fixtures

Items that are attached to the property in such a way that they become part of the real estate and are legally considered to be a part of the property.

Priority of Creditors

The legal principle determining the order in which creditors are paid in the event of a debtor's bankruptcy or liquidation of assets.

Secured Transactions

Financial agreements or deals where the borrower provides a creditor a security interest in an asset as collateral for a loan.

Bailment for Value

A legal relationship in which physical possession, but not ownership, of personal property is transferred from one person to another for a specific purpose, with an expectation of compensation.