-Using the Information in the Table Above, Calculate the Government?s

question 95

Multiple Choice

$\begin{array}{|l|l|}\hline \text { Component } & \begin{array}{l}\text { Amount } \\\text { (dollars) }\end{array} \\\hline \text { Net taxes } & 10\\\hline \begin{array}{l}\text { Personal consumption } \\\text { expenditure }\end{array} & 50 \\\hline \text { Depreciation } & 8 \\\hline \text { Government expenditure } & 20 \\\hline \text { Gros investment } & 26 \\\hline \text { Net exports } & -10 \\\hline \begin{array}{l}\text { Compensation of } \\\text { employees }\end{array} & 65 \\\hline\end{array}$
-Using the information in the table above, calculate the government?s budget deficit or surplus.

• A) -$4
• B) -$10
• C) $4
• D) $2

---

Definitions:

Total Manufacturing Costs

The aggregate cost of direct materials, direct labor, and manufacturing overhead incurred for products produced.

Distribution Cost

Expenses associated with delivering a product or service from the manufacturer to the end customer, including logistics and transportation.

Manufacturing Costs

Costs associated with the production of goods, including direct materials, direct labor, and manufacturing overhead.

Direct Labour

The work done by employees directly involved in manufacturing a product or delivering a service, typically accounted for as a variable cost.