If Net Exports Is 100 and the Private Sector Balance

question 283

Multiple Choice

If net exports is 100 and the private sector balance is 150, then the government sector balance is

• A) -50.
• B) 0.
• C) 50.
• D) 250.

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Definitions:

Profit Margin

A financial metric that measures the percentage of revenue that exceeds the cost of goods sold, indicating the profitability of a company.

Profit Margin

A financial metric indicating the percentage of revenue that exceeds the costs of goods sold, showing the profitability of a company or product.

DuPont Formula

A financial analysis method that breaks down return on equity into three components: profit margin, asset turnover, and financial leverage, to help understand a company's financial performance.

Operating Income

Earnings generated from a company's core business operations, excluding deductions of interest and taxes.