Which of the following statements regarding investment is correct? O a. Housing construction is classified as investment expenditure rather than consumption expenditure. O b. The accumulation of inventories does not count as current investment. O c. The capital stock includes investment in stocks and bonds. O d. Rental payments are included as investment expenditures. e. Depreciation refers to funds used to increase the existing stock of capital.
Which of the following statements regarding investment is correct? O a. Housing construction is classified as investment expenditure rather than consumption expenditure. O b. The accumulation of inventories does not count as current investment. O c. The capital stock includes investment in stocks and bonds. O d. Rental payments are included as investment expenditures. e. Depreciation refers to funds used to increase the existing stock of capital.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Which of the following statements regarding investment is
correct?
O a. Housing construction is classified as investment
expenditure rather than consumption expenditure.
O b. The accumulation of inventories does not count as
current investment.
O c. The capital stock includes investment in stocks and
bonds.
O d. Rental payments are included as investment
expenditures.
O .
Depreciation refers to funds used to increase the
existing stock of capital.
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