What Is the Annual Rate of Growth of Per Capita

question 106

Multiple Choice

What is the annual rate of growth of per capita real GDP if real GDP grows at a constant rate of 5 percent per year and the annual rate of population growth is 3 percent?

• A)1.7 percent
• B)2 percent
• C)5 percent
• D)8 percent

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Definitions:

Profit Margin

A financial indicator representing the proportion of income that surpasses the expenses related to the sale of goods, demonstrating a company's profitability.

Activity Bases

A reference used in managerial accounting to allocate costs to products or services, based on activities that generate costs, such as machine hours or labor hours.

Purchase Requisitions

An internal document used in a business to request the procurement department to order goods or services.

Payroll Checks

Payments made to employees representing wages earned during a pay period.