Answer: option B
Explanation:
in A) budget deficit = G+Tr - T
= 30+20-40
= 10
In B) private saving , Y-C-T = 60
Y = C+G+I
So, C+G+I-C-T = 60
G-T = 60-40 = 20
Budget deficit= 20, HIGHEST
In C) Y = C+G+I+Tr - T
300 = 180+G+ 90 + 20-60
G = 70
So budget deficit= G-T
= 70-60
= 10
Answer:
Option D. Has the effect of increasing net income by the same amount of the capitalized costs.
Explanation:
The reason is that the capitalized costs are the invesments in any assets whose useful life is more than one year and must be depreciated over useful life of the assets. If a expense nature cost is capitalized which must not be capitalized according to IAS 16 Porperty, Plant & Equipment then the expenses are understated which means that the profits are overstated. This means that presenting expenses as assets will increase the profits as costs will be fewer in amount presented in the financial statements.
Answer:
$700,000
Explanation:
Data provided in the question
Sales price of the home = $960,000
Cost price of the home = $260,000
Based on the above information,
The computation of the amount of gain included in gross income is shown below:
= Selling price of the home - cost price of the home
= $960,000 - $260,000
= $700,000
Hence, the amount of gain i.e $700,000 is included in the gross income
Answer:
A) gross national product (GNP)
Explanation:
The gross domestic product (GDP) measures the market value of the total production of final goods and services produced within a country during a year.
The GNP is different because it measures the market value of the total production of goods and services produced by the people or businesses of a country within a year. For example, sales of Apple products in Europe do not increase the GDP, but they increase the GNP.
