Identify the Correct Statement

question 108

Multiple Choice

Identify the correct statement.

• A)During a recession,investment decreases while consumption increases.
• B)During a recession,investment increases while consumption decreases.
• C)During a recession,investment is constant while consumption increases.
• D)Annual variations in investment are larger than annual variations in consumption.
• E)Annual variations in investment are smaller than annual variations in consumption.

---

Definitions:

Stockholders' Equity

The portion of the balance sheet that represents the equity or ownership interest of shareholders in a company.

Monetary Value

Monetary value represents the worth of an item, service, or asset expressed in terms of money or currency.

Net Income

The final amount a company retains as earnings after subtracting costs and taxes from its gross income.

Revenue

The total amount of money a company generates from its business activities, such as sale of goods or services, before any expenses are subtracted.