Using the outline below,draw a circular-flow diagram representing the interactions between households and firms in a simple economy.Explain briefly the various parts of the diagram. 
Definitions:
Common-Size Statements
Comparative reports in which each item is expressed as a percentage of a base amount without dollar amounts.
Comparative Reports
Financial reports that show side-by-side comparisons of financial data for different periods, helping to identify trends or changes over time.
Vertical Analysis
A financial analysis method that expresses each item in a financial statement as a percentage of a base amount for comparison purposes.
Total Assets
The sum of all assets owned by a company, including cash, inventory, property, and equipment.
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