If Aggregate Planned Expenditure Equals GDP,then

question 17

Multiple Choice

If aggregate planned expenditure equals GDP,then

• A)firms' inventories exceed planned inventories.
• B)firms' inventories equal planned inventories.
• C)firms' inventories are less than planned inventories.
• D)firms' actual investment has no relationship to its planned investment.
• E)firms do not have any inventories.

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Definitions:

Accounts Receivable Subsidiary Ledger

A detailed record that tracks individual balances owed by customers, supporting the total accounts receivable balance listed on the general ledger.

Accounts Payable Subsidiary Ledger

A detailed ledger breaking down accounts payable into individual supplier accounts, assisting in tracking what is owed to each creditor.

Adjustment Subsidiary Ledger

A detailed ledger that contains adjustments or modifications to accounts, used to support the primary accounting records.

Sales Returns And Allowances

Concessions granted to customers for returned goods or from granting reductions in the original sales price.