Other Things the Same, a Country That Increases Its Savings

question 131

Multiple Choice

Other things the same, a country that increases its savings rate will have

• A)higher future capital and higher future real GDP per person.
• B)higher future capital but not higher future real GDP per person.
• C)higher future real GDP per person but not higher future capital.
• D)neither higher future capital nor higher future real GDP per person.

---

Definitions:

Accounts Receivable Subsidiary Ledger

A book or file that contains the individual records, in alphabetical order, of amounts owed by various credit customers.

Accounts Payable Journal

A ledger that records all short-term obligations or debts a company owes to suppliers and creditors.

Sales Journal

A specialized journal used to record all of a company's sales on credit.

Controlling Account

A general ledger account that summarizes the total balances of several subsidiary accounts, providing an overview and facilitating reconciliation.