Refer to the Above Figure

question 76

Multiple Choice

Refer to the above figure.If box B represents the resource market and flow (3) represents money income,then:

• A) box A is the product market and box C is households.
• B) box C is the product market and box A is households.
• C) box D is the product market and box C is households.
• D) box C is the product market and box D is households.

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Definitions:

Gross Profit Method

A method used in accounting to estimate the value of a company's inventory by applying the gross margin ratio to net sales.

Inventory

Consists of the goods and materials a business holds for the purpose of resale or production.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue. It is often referred to as the bottom line.

Error

A discrepancy or mistake found in a document, calculation, or process.