Other things equal, an increase in transfer payments will ________ consumption expenditures, which leads to ________ in output and employment

Joseph earns $75,000. If his average tax rate is 18%, what is the total amount of money that he pays as tax?

A) $1,500 B) $13,500 C) $2,700 D) $15,000

At the beginning of the year, Tom's Tubes had a capital stock of 5 tube inflating machines. During the year, Tom scrapped 2 old machines and purchased 3 new machines. Tom's gross investment for the year totaled

A) 1 machine. B) 2 machines. C) 3 machines. D) 6 machines.