Which of the Following Statements About Nominal GDP and Real

question 14

Multiple Choice

Which of the following statements about nominal GDP and real GDP is correct?

• A)Nominal GDP is a better gauge of economic well-being than real GDP.
• B)Real GDP is a better gauge of economic well-being than nominal GDP.
• C)Real GDP and nominal GDP are equally good measures of economic well-being.
• D)Neither nominal nor real GDP provide a measure of economic well-being.

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Definitions:

Balance Per Books

The account balance according to the company's accounting records, not necessarily reflecting bank or third-party records.

Bank Reconciliation

A process that explains the difference between the bank balance shown in an organization's bank statement, as provided by the bank, and the corresponding amount shown in the organization's own accounting records at a particular point in time.

Outstanding Cheques

Checks that have been written and recorded in the payor's ledger but have not yet been cashed or cleared by the bank.

NSF

An acronym for "Non-Sufficient Funds," indicating that an account does not have enough money to cover a presented check or withdrawal.