Which of the Following Is Not True About the Composition

question 124

Multiple Choice

Which of the following is not true about the composition of GDP in 2012?

• A)The majority of consumer spending is on durable goods.
• B)Purchases made by state and local governments are greater than purchases made by the federal government.
• C)Imports are greater than exports.
• D)Business fixed investment is the largest component of investment.

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Definitions:

Unit Costs

The cost incurred by a company to produce, store, and sell one unit of a particular product or service.

Raw Materials Inventory

The stock of unprocessed materials that are used in manufacturing to produce goods, representing a current asset on the balance sheet.

Materials Requisitioned

The process and documentation involved in requesting and withdrawing materials from the inventory for use in production.

Job Order Costing

An accounting method used to assign costs to specific jobs or batches, ideal for manufacturing processes or services that are distinct or custom.