The Government Begins Year 1 with $25 Billion of Debt

question 121

Multiple Choice

The government begins year 1 with $25 billion of debt. Based on the information in the above table, what is the amount of debt following year 5?

• A) -$20 billion (The government has net saving rather than debt.)
• B) $35 billion
• C) $50 billion
• D) $325 billion

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Definitions:

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