In the Circular-Flow Diagram,which of the Following Items Does Not

question 94

Multiple Choice

In the circular-flow diagram,which of the following items does not flow from firms to households?

• A)goods
• B)services
• C)capital
• D)profit

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Definitions:

Partnership Losses

Financial deficits incurred by a partnership due to its business operations, shared among its partners according to their agreement.

Winding Up

The process of dissolving a company, including settling its debts and distributing any remaining assets to shareholders.

Dissolution

The process of formally ending or closing down a business or partnership.

Existing Contracts

Agreements that are currently in effect and have been established or agreed upon in the past between parties.