In a Certain Economy in 2005,GDP Amounted to $5,000;consumption Amounted

question 186

Multiple Choice

In a certain economy in 2005,GDP amounted to $5,000;consumption amounted to $3,000;government purchases were equal to investment;and the value of imports exceeded the value of exports by $200.It follows that government purchases amounted to

• A)$900.
• B)$1,100.
• C)$1,250.
• D)$1,325.

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Definitions:

ESOs

Employee Stock Options; rights granted to employees to purchase a company's stock at a predetermined price for a specific period.

Convertible Bond

A bond that can be exchanged for a fixed number of shares of stock for a specified amount of time.

Upside Potential

The estimated amount by which a security’s market price or value could rise, representing the opportunity for profit.

Downside Protection

Downside Protection strategies aim to limit the potential loss in the value of an investment, often through hedging techniques or insurance.