Because of the Circular Flows of Expenditure and Income in the Economy

question 54

Multiple Choice

Because of the circular flows of expenditure and income in the economy, total _{-------------} equals total_{-------------}
Equals total_{-------------} .

• A)expenditure; investment; income
• B)expenditure; income; value of production
• C)consumption; investment; expenditure
• D)investment; income; consumption
• E)consumption; expenditure; value of production

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Definitions:

Department Manager

A professional responsible for overseeing the operations, staff, and budget of a department within an organization.

Investment Center

A decentralized unit in which the manager has the responsibility and authority to make decisions that affect not only costs and revenues but also the fixed assets available to the center.

Authority

The power or right to make decisions, direct others, and enforce obedience within a particular scope.

Plant Assets

Fixed assets that are tangible in nature, such as buildings and machinery, used in the operations of a business and expected to be useful for many years.