In the Very Short Run, the Components of Aggregate Planned

question 24

Multiple Choice

In the very short run, the components of aggregate planned expenditure that depend on the level of real GDP are

• A)planned investment and planned exports.
• B)planned consumption expenditure and planned imports.
• C)planned government expenditure on goods and services and planned imports.
• D)planned investment and planned imports.

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Definitions:

Accounts Receivable

Money owed to a business by its customers for products or services delivered or used but not yet paid for.

Allowance for Doubtful Accounts

A contra-asset account used to estimate the portion of accounts receivable that is expected to be uncollectible.

Merchandise Return

The process of returning purchased goods to the seller, typically due to defects, dissatisfaction, or other reasons.

Full Payment

The act of paying the entire amount due on an obligation, such as an invoice or loan, without any outstanding balance.