Use the Following to Answer Questions

question 364

Multiple Choice

Use the following to answer questions :
Scenario: Open Economy S = I
In an open economy GDP is $12 trillion this year. Consumption is $8 trillion, and government spending is $2 trillion. Taxes are $0.5 trillion. Exports are $1 trillion, and imports are $3 trillion.
-(Scenario: Open Economy S = I) Look at the scenario Open Economy S = I. How much is the net capital inflow?

• A)$1 trillion
• B)$2 trillion
• C)$3 trillion
• D)$4 trillion

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Definitions:

Weighted Average Method

An inventory costing method that calculates the cost of goods sold and ending inventory based on the average cost of all goods available for sale during the period.

Packaging Department

A segment within manufacturing or distribution focused on the process of designing and creating packaging for products to ensure safe delivery and appeal.

Transferred-in Costs

The costs that are transferred from one department to another within a company, particularly in process costing environments.

Conversion Costs

Costs associated with converting raw materials into finished goods, typically including labor and manufacturing overhead.