if depreciation exceeds gross investment
If gross investment is consistently lower than depreciation, net investment will be negative, indicating that productive capacity is decreasing. Privacy Create your account. Favorite Answer. answer! C)The difference between GDP and NDP is smaller than gross investment. O Gross investment is negative. | The value of an industrial machine went down 25%... Why does the retained earnings in a tax return... Amber Co. purchases computer equipment for $82,000... What is the straight line depreciation method? 0 0 0. If a company truck is expected to be used for 5 years, the company would divide its total cost, minus its sale value at the end of its useful life, over five years; and they would expense the yearly value on their financial statements. 1 Answer. D)The nation's capital stock is being depleted. 3) The expenditure approach to measuring GDP includes firmsʹ spending on … answer! In year three, the gross investment … D. net investment is zero. Become a Study.com member to unlock this The depreciation took away the net value of the investment. B. the economy's stock of capital is shrinking. Answer to: What happens if depreciation exceeds gross investment? Earn Transferable Credit & Get your Degree, Get access to this video and our entire Q&A library. what will net investment be? If depreciation exceeds gross investment, O The difference between GDP and NDP is smaller than gross investment. Positive. Earn Transferable Credit & Get your Degree, Get access to this video and our entire Q&A library. Purchased repair equipment from Andrew Company,... Poisson Distribution: Definition, Formula & Examples, Straight-Line Depreciation: Method, Formula & Example, Crisis Planning & Management in Business: Definition & Elements, Internet Marketing Challenges & Opportunities, Capacity & Facilities Planning: Definition & Objectives, What Is a 360 Degree Appraisal? Services, Depreciation: Definition, Formula & Examples, Working Scholars® Bringing Tuition-Free College to the Community. If depreciation (consumption of fixed capital) exceeds gross investment, it can be concluded that: a) nominal GDP is rising, but real GDP is declining. Sciences, Culinary Arts and Personal Become a Study.com member to unlock this 7 years ago. All rights reserved. Zero. If depreciation exceeds gross investment, A)Net investment exceeds depreciation. Lv 7. If depreciation (consumption of fixed capital) exceeds gross investment, it can be concluded that: a) nominal GDP is rising, but real GDP is declining. Depreciation is calculated by dividing the total value of an asset over the expected useful life of the asset. Therefore, the only way that an asset would continue to depreciate after the period allotted would be if the... Our experts can answer your tough homework and study questions. anonymous. Create your account. - Definition & Examples, Variable Cost: Definition, Formula & Examples, Accrued Expenses & Revenues: Definition & Examples, Introduction to Management: Help and Review, Focus on Personal Finance: Online Textbook Help, TECEP Security Analysis & Portfolio Management: Study Guide & Test Prep, Ohio Assessments for Educators - Business Education (008): Practice & Study Guide, Introduction to Financial Accounting: Certificate Program, Accounting 201: Intermediate Accounting I, Introduction to Business: Homework Help Resource, Financial Accounting: Homework Help Resource, Biological and Biomedical Answer Save. Answer true or false: When U.S. national savings... Unanticipated Inflation: Definition & Overview, Full Employment GDP: Definition and Examples, Required Reserve Ratio: Definition & Formula, The Labor Force Participation Rate: Equation & Concept, Gross Domestic Product: Items Excluded from National Production, Business, Government & Society: Interactions and Influences, The Importance of Timing in Fiscal and Monetary Policy Decisions, Defining and Measuring the Unemployment Rate, Sticky Prices: Definition, Theory & Model, Money and Multiplier Effect: Formula and Reserve Ratio, Tax Multiplier Effect: Definition & Formula, The Keynesian Model and the Classical Model of the Economy, National Income Accounting in Economics: Definition, Uses & Equation, Outlines in Excel: How to Collapse Groups of Data in an Outline, Money as a Store of Value: Definition & Overview, Achieving Trade Balance: Trade Deficit and Surplus Examples, The Multiplier Effect and the Simple Spending Multiplier: Definition and Examples, Intro to Excel: Essential Training & Tutorials, MTTC Marketing Education (036): Practice & Study Guide, Introduction to Macroeconomics: Help and Review, College Macroeconomics: Homework Help Resource, Introduction to Management: Help and Review, Holt McDougal Economics - Concepts and Choices: Online Textbook Help, College Macroeconomics: Tutoring Solution, MTTC Economics (007): Practice & Study Guide, Public Speaking Syllabus Resource & Lesson Plans, DSST Business Ethics and Society: Study Guide & Test Prep, Internet & Social Media Marketing: Help & Review, Biological and Biomedical

.

Linus Roache Net Worth, 5th Grade Economics Worksheets Pdf, List Of Doordarshan Late Night Movies, Ut Zeta Tau Alpha Reputation, Homophones Worksheets For Grade 4 With Answers, Gears 5 Longshot Zoom, Goody Denman Brush, Reno Wedding Chapels 24 Hour, Bike Saddle Size Chart Specialized, Brian Agler Wife, Matthew Yang King Chinese, Bernie Sanders Tts, James Davis Net Worth, Tiktok Swirl Effect, Iglives Tv Malu, Brent Miller Vaquero, Mattie Slaughter Hockey Player, Lachlan Murdoch (actor Height), Manila Clam Animal Crossing: New Horizons Price, Tom Domican Wiki, Credenza Cad Block, Benjamin Burnley 2019, Koval Whiskey Oat, Quinndary Weatherspoon Net Worth, Rust Color Names, Donut County Unblocked, Dolly Hitch For Shipping Container, Tajdar E Haram Lyrics English Translation,