If Net Investment in 2017 Is $500 Billion and Gross

question 235

Multiple Choice

If net investment in 2017 is $500 billion and gross investment in 2017 is $900 billion, depreciation in 2017 is

• A) -$500 billion.
• B) $0.
• C) $400 billion.
• D) $1,400 billion.

---

Definitions:

Peak Efficiency

The optimal point at which a particular process or system operates with maximum effectiveness or efficiency.

MC = MR

The point where Marginal Cost equals Marginal Revenue, considered the optimal point of production for maximum profit.

ATC Curve

A graph showing the average total cost of production at different levels of output, illustrating how costs vary with changes in output.

Economic Profit

The difference between a firm's total revenues and its total costs, including both explicit and implicit costs, reflecting the total financial gain.