A Chart of the Ratio of National Debt to GDP

question 4

Multiple Choice

A chart of the ratio of national debt to GDP from 1915 to 2014 would show

• A)significant increases from 1945 to 1975.
• B)significant increases during World Wars I and II.
• C)a larger value in 1975 compared to 1945.
• D)significant increases from 1995 to 2003.

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Definitions:

Voucher System

A control mechanism in accounting that uses vouchers to record transactions and ensure that every payment is properly authorized.

Net Method

Refers to an accounting practice of recording purchases or sales of inventory after all discounts have been applied, showing the net amount as the transaction value.

Purchases Discount

A deduction from the stated purchase price, often granted to encourage early payment or bulk buying.