Suppose Aggregate Output Is Demand- Determined

question 46

Multiple Choice

Suppose aggregate output is demand- determined. Suppose a decrease in autonomous investment expenditure of $20 million reduces equilibrium national income by $50 million. The marginal propensity to spend is equal to

• A)0.4.
• B)- 0.6.
• C)- 2.5.
• D)2.5.
• E)0.6.

Understand the application of social theories like social exchange theory to team communication.

Identify different goal orientations and their effects on team performances.

Understand the significance and objectives of performance appraisals.

Recognize the legal implications and documentation importance of performance appraisals.

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Definitions:

Journal Entries

The basic building blocks of accounting, representing financial transactions recorded in a company's ledger.

Posting

The process of transferring financial information from the journal to the respective accounts in the ledger, a crucial step in the accounting cycle.

Cash Account

A financial account that records cash transactions in and out.

Posting Reference

A code or number used in accounting to indicate the ledger account to which a transaction has been posted.