GDP Differs from GNP Because

question 59

Multiple Choice

GDP differs from GNP because

• A)GDP = GNP - net factor payments from abroad.
• B)GNP = GDP - net factor payments from abroad.
• C)GDP = GNP - capital consumption allowances.
• D)GNP = GDP - capital consumption allowances.

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Definitions:

Cash Receipts

The collection of money, including cash, checks, and credit card payments, received by a business during a period.

Minimum Cash Balance

The lowest amount of cash that a company or individual aims to hold in order to meet operational and transaction needs.

Net Operating Income

The profit generated from a business's core operations, excluding expenses and revenues from non-operating activities.

Estimated

Refers to approximate calculations or judgments about figures or values that are not precisely known.