The Net National Product (NNP) Can Be Obtained from the GDP

question 79

Multiple Choice

The net national product (NNP) can be obtained from the GDP by:

• A)​subtracting depreciation.
• B)​subtracting net income of foreigners and depreciation.
• C)​including the net income of foreigners.
• D)​subtracting depreciation and indirect business taxes.

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Definitions:

Debentures

Long-term securities issued by companies to borrow money, often with a fixed rate of interest.

Mortgage Bonds

Bonds secured by real estate or physical equipment that can be sold in case the bond issuer defaults.

Individual Investors

Private individuals who invest their own money in various financial instruments, such as stocks, bonds, or real estate, aiming to achieve personal financial goals.

Par Value

A nominal or face value assigned to a share of stock by the corporation at the time of issuance.