Which of the Following Would Be an Example of an Investing

question 117

Multiple Choice

Which of the following would be an example of an investing activity on a statement of cash flows?

• A) Sale of equipment.
• B) Issuance of long-term bonds.
• C) Receipt of investment revenue.
• D) Conversion of a cash equivalent into cash.

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Definitions:

Real GDP

The measure of a country's economic output adjusted for price changes (inflation or deflation), representing the value of all goods and services produced over a specific period.

Money Supply

The total amount of money resources gathered in an economy at a certain time.

Planned Investment Spending

Expenditure on new physical capital intended by firms, which is part of aggregate spending in the economy.

Aggregate Demand Curve

A graphical representation showing the relationship between the total demand for goods and services in an economy at different price levels.