If in Some Year Gross Investment Was $120 Billion and Net

question 14

Multiple Choice

If in some year gross investment was $120 billion and net investment was $65 billion, then in that year the country's capital stock

• A) may have either increased or decreased.
• B) increased by $65 billion.
• C) increased by $55 billion.
• D) decreased by $55 billion.

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Definitions:

Dividend Payout

The portion of a company's earnings that is paid out to shareholders in the form of dividends.

Bankruptcy Announcement

The official notice given by a company indicating that it is unable to meet its debt obligations and is seeking protection under bankruptcy laws.

Liquidating Dividend

This is a type of dividend paid by a company when it is in the process of shutting down or liquidating its operations, using the assets to pay shareholders.

Special Dividend

A one-time payment made by a company to its shareholders, often indicative of surplus profit not reinvested in the business.