A Country Has Output of $600 Billion,consumption of $350 Billion,government

question 15

Multiple Choice

A country has output of $600 billion,consumption of $350 billion,government expenditures of $90 billion and investment of $60 billion.What is its supply of loanable funds?

• A)$160 billion
• B)$150 billion
• C)$60 billion
• D)$30 billion

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Definitions:

Managerial Purposes

Utilized to describe the actions or decisions made by managers in running a company, often aimed at achieving strategic goals and maintaining operational efficiency.

Accounting Income

It is the income reported by a company as per the accounting principles, including all revenues minus expenses, excluding any unrealized gains or losses.

Adjustments

Modifications made to financial statements or data to correct inaccuracies or allocate revenues and expenses.

Free Cash Flow

The cash a company generates after accounting for cash outflows to support operations and maintain its capital assets, indicating the financial health and profitability of a company.