Which of the Following Is True

question 70

Multiple Choice

Which of the following is true?

• A) if an investment project is going to be undertaken, someone must increase his current consumption.
• B) saving and investment must always be undertaken by different individuals.
• C) if we invest more and use more of our resources to produce capital goods today, fewer current resources will be available to produce consumption goods.
• D) all of the above are correct.

---

Definitions:

Production Department

A specific division within a company focused on the manufacture of goods and products.

Variance Reports

Documents that compare actual performance to planned or budgeted performance, highlighting differences or "variances."

Top Management

Refers to the highest level in the management hierarchy, responsible for the overall strategy and direction of an organization.

Standard Cost

A predetermined cost of manufacturing, which is often used in budgeting and variance analysis.