If Net Exports Increase by 100 and the Mpc Is

question 81

Multiple Choice

If net exports increase by 100 and the mpc is 0.75,equilibrium aggregate output increases by

• A)100.
• B)250.
• C)400.
• D)750.

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Definitions:

Financial Ratios

Quantitative measures derived from financial statement analysis used to assess a business's performance, financial health, and valuation.

Leverage Ratios

Financial ratios that measure the amount of capital coming from debt and assess the ability of a company to meet financial obligations.

Liquidity Ratios

Financial metrics used to assess a company's ability to meet its short-term obligations, indicating how quickly assets can be converted into cash.

Debt Ratio

A financial ratio that measures the extent of a company's leverage, calculated as the company's total liabilities divided by its total assets.