Suppose That Fixed Investment Is $480 Billion and (Total)investment Is

question 65

Multiple Choice

Suppose that fixed investment is $480 billion and (total) investment is $630 billion.What does inventory investment equal?

• A) $150 billion
• B) $550 billion
• C) $630 billion
• D) $1,110 billion
• E) There is not enough information to answer this question.

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Definitions:

Common Stock

A form of corporate equity ownership, a type of security that represents ownership in a corporation and a claim on a proportion of its profits.

Gain Recognition

The process of recording increases in asset value, typically when assets are sold for more than their book value.

Consolidated Income Statement

A financial statement that combines the income, expenses, and profits of a parent company and its subsidiaries to present the overall performance.

Subsidiary Sold Land

An event where a company owned by another company sells a piece of real estate.