If the Multiplier Is 5, Then the MPC Is

question 380

Multiple Choice

If the multiplier is 5, then the MPC is

• A)0.05.
• B)0.5.
• C)0.6.
• D)0.8.

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Definitions:

Accrued Interest

Interest that has been incurred but not yet paid or received in cash.

Notes Receivable

Written promises for amounts to be received by a business, typically recognizable as assets on the balance sheet because they represent a legal obligation for the payer to settle the debt.

Interest Receivable

The amount of interest income that has been earned but not yet received in cash.

Note Receivable

A written promise that signifies an entity or person will receive a specified sum of money at a defined future date.