If GDP in an Economy Is Greater Than Its GNP,it

question 14

Multiple Choice

If GDP in an economy is greater than its GNP,it means that

• A)net factor payment from abroad is positive.
• B)net factor payment from abroad is negative.
• C)net factor payment from abroad is zero.
• D)there is a measurement error.

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Definitions:

Principal amount

The principal amount refers to the initial sum of money borrowed in a loan or invested, excluding any interest or additional fees.

Compounded quarterly

Refers to the calculation and addition of interest on a principal amount four times a year.

Annual scholarships

Financial awards given to students once a year to support their education, often based on merit, need, or specific criteria set by the scholarship provider.

Semi-annual dividend

A payment made to shareholders from a company's earnings, distributed twice a year.