Macro Disturbances Can Be Caused by Changes in

question 97

Multiple Choice

Macro disturbances can be caused by changes in

• A)Investment only.
• B)Government spending only.
• C)Consumption,investment,government spending,or exports.
• D)Exports only because this is the only type of expenditure that is not controllable.

Understand the basic structures and types of business firms.

Identify the conditions under which investment is more likely to occur.

Differentiate between investment in capital and consumer goods.

Analyze the factors affecting investment levels and capacity utilization.

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Definitions:

Cost Of Goods Manufactured

The total manufacturing costs of goods that are completed and ready for sale within a specific accounting period.

Manufacturing Overhead

All manufacturing costs that are not directly traceable to a product, including costs associated with running the production facility.

Work In Process

Products that are in the middle of the production process and are not yet completed; represents a component of inventory on the balance sheet.

Finished Goods

Goods that are completed production and are now available for customer acquisition.