Its b
Explain:
The reason it’s because the government collects taxes which are considered leakages
It was more profitable for gm and ford to integrate
backward into component-parts manufacturing in the past because manufacturing costs less than if
materials are purchased from the suppliers and <span>both companies are now buying more of their parts from outside
suppliers because it<span> was more skillful to purchase raw materials, and then change them into
operational parts, and use them to create a final product.</span></span>
Answer:
The statement is true.
Explanation:
Investment expenditure refers to the expenses incurred on account of creating capital assets.
If a good is produced but is left unsold or not used in the production process, then, they result in increased inventory, which is considered as an investment by the firm.
For the purpose of GDP accounting, unsold goods in inventory are treated as purchased by the firm from itself. As such, they form a part of investment expenditure in the accounting period.