If the Difference Between a Country's Savings and Investment Is

question 21

Multiple Choice

If the difference between a country's savings and investment is negative,it implies that

• A)a country's domestic savings is insufficient to finance domestic investment.
• B)a government budget deficit exists.
• C)a country's domestic savings is sufficient to finance domestic investment
• D)none of the options

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Definitions:

Common Fixed Costs

Costs that are shared among multiple product lines or departments within an organization and do not change with the volume of production.

Segment Performance

An analysis of a specific part of a company, such as a division or product line, to evaluate its contribution to the overall performance of the business.

Turnover

The rate at which a company's goods are sold and replaced, or an employee's leaving and being replaced.

Return on Investment

A measure of the profitability of an investment, calculated by dividing the net profit by the initial cost of the investment.