The Net Export (NX)function Crosses the Horizontal Axis at a Level

question 33

Multiple Choice

The net export (NX) function crosses the horizontal axis at a level of national income where the

• A)X and IM curves intersect.
• B)X curve reaches the horizontal axis.
• C)IM curve reaches the horizontal axis.
• D)X and IM curves are at their farthest distance apart.
• E)X curve reaches its maximum.

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Definitions:

IFRS

IFRS stands for International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is globally recognized for preparing financial statements.

GAAP

Widely recognized accounting norms and criteria in the U.S. that guide financial statements.

Property, Plant, Equipment

Long-term tangible assets used in the operation of a business and not expected to be converted to cash in the short term.

Accumulated Depreciation

Accumulated depreciation is the total amount of depreciation expense that has been recorded against a company's assets over time.