Suppose the Consumption Equation Is Represented by the Following: C

question 19

Multiple Choice

Suppose the consumption equation is represented by the following: C = 250 + .8YD.The multiplier for the above economy equals

• A)2)
• B)3)
• C)4)
• D)5)
• E) none of the above

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Definitions:

Cash Payment

is the act of settling a transaction or discharging a debt by using physical currency or through a digital medium representing immediate value.

Internal Control Objectives

The goals aimed at ensuring the reliability of financial reporting, compliance with laws and regulations, and effectiveness of operations.

Financial Reports

Documents that provide an overview of a company's financial condition, including balance sheets, income statements, and statements of cash flows.

Applicable Laws

The set of relevant laws and regulations that apply within the jurisdiction of a business operation or transaction.