National Income Is Best Defined as Sum of All Income

question 7

Multiple Choice

National Income is best defined as sum of all income earned by

• A)American-owned resources,located in the U.S.and abroad
• B)resources located in the U.S.
• C)American-owned resources located abroad
• D)American-owned resources minus income earned by foreign owned resources located in the U.S.
• E)American owned resources in the U.S.minus income earned by American owned resources located abroad

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Definitions:

Planning Budget

A budget created for a specific level of activity, used as a tool for decision making and planning within an organization.

Supplies Cost

The amount spent on materials and goods required for the operation of a business that are not directly included in the final product.

Spending Variance

The difference between the actual and budgeted spending. It is used in budgetary control to identify discrepancies and manage costs.

Travel Expenses

Costs associated with traveling for the purpose of conducting business-related activities.