When investment exceeds planned investment, aggregate planned expenditure is ________ than actual aggregate expenditure and inventories are ________ than planned.
A) greater; greater
B) greater; less
C) less; greater
D) less; less

Question

Quizplus · Accepted Answer

When investment exceeds planned investment, it means actual aggregate expenditure is less than planned because the excess investment leads to an unintended increase in inventories, making inventories greater than planned.

When Investment Exceeds Planned Investment, Aggregate Planned Expenditure Is ________