Acme Brands invested $5 million in 2010 on new equipment, spent $750 thousand to increase its inventory of intermediate components, and added $25 thousand to its inventory of finished goods
At year's end, the components inventory is found to be $200 thousand above its beginning-of-the- year level, and finished goods inventory is up $30 thousand over its starting level. Calculate planned investment, unplanned investment, and actual (total) investment.
Planned investment is $5 million plus $750 thousand plus $25 thousand equals $5.775 million. Unplanned investment is $200 thousand minus $750 thousand plus $30 thousand minus $25 thousand equals negative $545 thousand. Actual investment is $5 million plus $200 thousand plus $30 thousand equals $5.23 million (equals $5.775 million minus $545 thousand).
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The largest International Monetary Fund quota subscription, denominated in Special Drawing Rights, is held by
A) the United States. B) Japan. C) China. D) Russia.
Which of the following will cause the net export function to shift?
a. A change in real GDP b. An increase in government spending c. An increase in investment spending d. A change in the exchange rate e. A change in the domestic interest rate