The Beginning and Ending Balances of Long-Term Debt for the Most

question 51

Multiple Choice

The beginning and ending balances of long-term debt for the most recent fiscal year are $43,850 and $27,000,respectively.During the year,cash payments for long-term debt amounted to $23,450.How much new long-term debt was issued during the year?

• A)$6,600
• B)$20,400
• C)$3,550
• D)$16,850
• E)None of the answer choices is correct.

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Definitions:

Tax Revenue

The income collected by the government from taxes.

National Debt

The cumulative sum of funds borrowed by a nation's government, usually due to spending more than it earns.

Budget Deficits

The situation where a government's expenditures exceed its revenues in a given fiscal period, leading to borrowing or printing of money.

National Debt

The all-encompassing volume of money borrowed by a nation's government through different strategies.