Investment is equal to all purchases of newly produced capital goods Select one: a. minus changes in business inventories. b. plus fixed investment minus inventory investment. c. plus changes in business inventories. d. plus changes in business inventories plus purchases of new residential housing. Previous page

Question

Harrison

Business

27 October, 23:36

Investment is equal to all purchases of newly produced capital goods Select one: a. minus changes in business inventories. b. plus fixed investment minus inventory investment. c. plus changes in business inventories. d. plus changes in business inventories plus purchases of new residential housing. Previous page

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Nola · Answer 1

Plus changes in business inventories, plus purchases of new residential housing

Explanation:

Let us understand the term deeply what an "investment" is about.

It is the amount of money spent on something which would yield a better returns" These are purchase of goods which may not be essential or not going to be used immediately but it is bought keeping future in mind Those are also called an "asset" which can be sold in future "for higher profit returns" This is action is done to "financially" be safe or protected There are different types of investment and should be carefully chosen based on the returns and risks associated with that.