In the Circular Flow Model with the Government Sector,transfers

question 62

Multiple Choice

In the circular flow model with the government sector,transfers

• A)flow in the opposite direction to taxes.
• B)flow in the same direction as taxes.
• C)to households flow in the same direction as expenditures on goods and services.
• D)to firms flow in the same direction as rent,wages,interest and profits.
• E)flow only through the goods market.

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Definitions:

Leverage Ratios

Financial metrics that assess the degree of a company's reliance on borrowed money in its operations.

Profitability Ratios

Financial ratios that are used to measure the ability of a company to turn sales into profits and to earn profits on assets and owner’s equity committed.

Primary Financial Records

Essential documents that record and detail the financial activities and condition of a business or individual, such as income statements, balance sheets, and cash flow statements.

Benchmarking

The process of comparing one's business processes and performance metrics to industry bests or best practices from other industries.