Potential GDP = $20
Real GDP =$19.2
so an output gap is measured relative to potential output and it is calculated according to the formula [( X - Y ) Ă· Y] Ă—100. In this case, the output gap is [($10 billion - $8 billion) Ă· $8 billion] Ă—100 = 25%.
Answer:
(C) Cash
Explanation:
Receivables means deptors. These are obligations that has been honoured and value given, but you're yet to get cash. Receivables are seen as such. So the things you've given value to and you're yet to receive cash or payment for are receivables.
So when receivables are collected, then the asset account Cash is increased.
On the Delivery of goods or Services, the company debits Accounts Receivable and credits what is known as Sales Revenues or Service Revenues. When an account receivable is collected say 30 days later, the account receivables is reduced and the Cash or bank account is increased.
Answer:
The correct answer is: A novation.
Explanation:
A novation is the replacement of individuals in a contract with the consent of both parties. The new party takes all the obligation of the initial party and releases the last one from all duty. The novation must be signed for the transferor, the transferee, and the contracting party.
So they will want to buy them if someone sees a product they like and maybe feels a connection to buy it then they will buy it
Answer: $500 billion
Explanation:
The country's savings will be explained below:
Savings = Domestic Investment + Net Capital Outflow
where, the net capital outflow will be:
= exports - imports
= $100 billion - $400 billion
= $-300 billion
Therefore, the country's savings will be:
= Domestic Investment + Net capital Outflow
= 800 + (-300)
= 800 - 300
= $500 billion