The Largest Component of Aggregate Demand Is Which of the Following

question 89

Multiple Choice

The largest component of aggregate demand is which of the following?

• A)the money supply
• B)consumption expenditures by households
• C)government spending
• D)taxes

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Definitions:

Break-even Sales

The amount of revenue needed to cover total costs, both fixed and variable, with no profit or loss.

Northern Division

This does not represent a universally recognized key term across business or accounting fields and could refer to a specific, non-generic division within a company.

Fixed Expenses

Costs that do not change with the level of production or sales, remaining constant over a specified period.

Period Cost

Costs that are not directly tied to the production process and are instead expensed in the period they are incurred.