In the US, the Market System Plays a Critical Role in Deciding

question 11

True/False

In the U.S., the market system plays a critical role in deciding how much of current output is to be allocated to current consumption and how much is to be devoted to future consumption through the production of capital goods.

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Definitions:

Net Income

The total earnings of an organization after subtracting all expenses, taxes, and costs from its total revenue.

Net Margin

A financial metric that shows the percentage of revenue remaining after all operating expenses, interest, taxes, and preferred stock dividends have been deducted from a company's total revenue.

Sales

The process of selling goods or services to customers in exchange for money or other compensation.

Net Margin

A profitability metric calculated as net income divided by revenue, expressed as a percentage, indicating how much of each dollar in revenues is translated into profits.