If S = -50 + 0

question 78

Multiple Choice

If S = -50 + 0.4Y and I = 70, then the equilibrium level of income is

• A) 180.
• B) 300.
• C) 420.
• D) 450.

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Definitions:

Withdrawals

Sums of money withdrawn by the business owner(s) for private expenses.

General Journal

A basic accounting record used to keep track of all business transactions not recorded in specialized journals.

Account Titles & Descriptions

Names and explanations assigned to individual accounts in the financial statements, reflecting the nature and type of transaction.

Balance

A balance in financial terms refers to the amount of money or value remaining in an account, or the equality between the sum of debits and credits in an accounting record.