According to the Keynesian Model

question 76

Multiple Choice

According to the Keynesian model:

• A) the equilibrium is found by equating the output produced to aggregate demand.
• B) the equilibrium is found by equating the inventories to aggregate demand.
• C) the equilibrium is found by equating the investment to aggregate demand.
• D) the equilibrium is found by equating the output produced to aggregate supply.

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Definitions:

Financing Activities

Activities that result in changes in the size and composition of the contributed equity and borrowings of the entity.

Statement of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, breaking the analysis down to operating, investing, and financing activities.

Non-Current Liabilities

Liabilities not due for settlement within 12 months after the reporting period, often including long-term loans, bonds payable, and lease obligations.

Profit After Tax

The net income earned by a company after all taxes have been deducted from total revenue.