Solved:
Answered by AI, Verified by Human Experts
Which of the following statements is correct? A. Actual investment will equal planned investment only when inventories rise. B. Actual investment and planned investment are always the same thing. C. Actual investment equals planned investment only when inventories decline. D. Actual investment will equal planned investment only when there is no unplanned change in inventories.
Which of the following statements is correct? A. Actual investment will equal planned investment only when inventories rise. B. Actual investment and planned investment are always the same thing. C. Actual investment equals planned investment only when inventories decline. D. Actual investment will equal planned investment only when there is no unplanned change in inventories.
Answer:D. Actual investment will equal planned investment only when there is no unplanned change in inventories.Explanation:Actual investment is the total expenditure that a business spends on investment during a given period of time. It includes planned investment and any unplanned changes in inventory.Actual investment = Planned investment - Unplanned inventory changesTherefore when there are no unplanned changes in inventory, then actual investment equals planned investment....
Unlock full access for 72 hours, watch your grades skyrocket.
For just $0.99 cents, get access to the powerful quizwhiz chrome extension that automatically solves your homework using AI. Subscription renews at $5.99/week.