-What Is the Amount of the Surplus or Deficit Incurred

question 60

Multiple Choice

-What is the amount of the surplus or deficit incurred in year 4 by the government shown in the above table?

• A) $5 billion surplus
• B) $320 billion surplus
• C) $35 billion surplus
• D) $20 billion deficit

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Definitions:

Debt Ratio

A financial ratio that measures the proportion of a company's total debt to its total assets.

Operating Activities

Those activities directly related to the production, sale, and delivery of a company's products or services, as reflected in its income statement.

Current Accounts

Balances held in checking accounts that are typically used for the day-to-day money transactions and management.

Inventory Turnover

A ratio showing how many times a company's inventory is sold and replaced over a period.