The Components of Aggregate Expenditure Are Consumption Expenditure

question 201

Multiple Choice

The components of aggregate expenditure are consumption expenditure,

• A) interest, gross spending, and net spending.
• B) investment, government expenditure on goods and services, and net income.
• C) interest, government expenditure on goods and services, and net exports.
• D) investment, government expenditure on goods and services, and net exports.
• E) investment, government expenditure on goods and services, and net taxes.

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Definitions:

Equity Stakeholding

Ownership interest in a company, usually represented by holding shares of the company's stock.

Associate

In business, it refers to a company in which another company owns a significant but not majority share, typically between 20% and 50%, giving it a significant influence over the associate.

Financial Decisions

Choices made by individuals or businesses relating to the use of financial resources, including investment, financing, and dividend decisions.

Operating Decisions

Decisions that relate to the day-to-day operations of a business, affecting its operational efficiency and cost structure.