Which of the Following Would Increase the Investment Component of U.S

question 79

Multiple Choice

Which of the following would increase the investment component of U.S. GDP?

• A) You purchase a new clothes washing machine produced in the U.S.
• B) You purchase a new clothes washing machine produced in France.
• C) A laundry in Seattle purchases a new clothes-washing machine produced in the U.S.
• D) A laundry in Mexico purchases a new clothes-washing machine produced in the U.S.

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Definitions:

Cash

A form of liquid asset that consists of currency, including coins and banknotes, which can be used immediately for transactions.

Supplies Expense

The cost associated with consumable supplies used during an accounting period in the operation of a business.

Supplies

Items used in the day-to-day operations of a business, such as office supplies, which are essential for conducting business activities.

Inventory

The cumulative inventory of products and materials retained by a business for selling or for use in manufacturing.