GDP Is ___________ GDI

question 17

Multiple Choice

GDP is ___________ GDI.

• A)much higher than
• B)about the same size as
• C)much lower than

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Definitions:

Fixed Cost

Expenses that do not change with the level of output or sales, remaining constant even if the business activity varies.

Activity Variance

The difference between what was expected in terms of expenses or revenues for a particular activity level and what was actually realized.

Vehicle Operating Cost

The total expense associated with keeping a vehicle running, including fuel, maintenance, insurance, and depreciation.

Spending Variance

The difference between the actual amount spent and the budgeted amount for a particular expense category in a specific period.