Suppose Output Is $35 Billion,government Purchases Are $10 Billion,desired Consumption

question 3

Multiple Choice

Suppose output is $35 billion,government purchases are $10 billion,desired consumption is $15 billion,and net exports are $4 billion.Then desired investment equals

• A)$2 billion.
• B)$4 billion.
• C)$6 billion.
• D)$8 billion.

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Definitions:

Capital Assets

Long-term assets acquired or owned by a company or individual, anticipated to be used for more than one year, and intended for the operation or investment purposes.

Government-Owned Landfill

A waste disposal facility owned and operated by a governmental entity for the management of trash and recyclables.

Accrued

Expenses or revenues that have been incurred but not yet recorded in the company's accounts during the accounting period.

Pro-Rated Basis

The allocation of amounts or costs in proportion to some factor, such as time or usage.