Answer: positive
Explanation:
The real gross domestic product refers to the value of the output in an economy which has been adjusted for price changes.
There's a positive relationship between the real GDP and tax revenues. This can be used to explain deficit spending during a recession. When there's recession, there'll be a reduction in the output and consumption in the economy. At this point, there'll be a reduction in GDP.
Answer:
$10,000
Explanation:
A company's income is either shared out as dividends or kept in as retained earnings. Therefore, the total of retained earnings and dividend paid out is the net income. This is the amount that will reflect in the income statement. In other words, income is calculated first before dividends or retained earnings are declared.
For Martinville, income will be calculated first before dividends are paid. Net income will be
=revenue - expenses
=$17,000 -$7,000
=$10,000
Balance in the Income Summary account was $10,000
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