There are two types of investment: ________ investment-the spending by business firms on equipment and structures,and planned spending on residential houses-and ________ investment-spending by business firms on additional holdings of raw materials,parts,and finished goods.
A)planned;gross
B)planned;inventory
C)fixed;gross
D)fixed;inventory

Question

Quizplus · Accepted Answer

Fixed investment refers to spending on long-term assets like equipment and structures, while inventory investment refers to spending on additional holdings of raw materials, parts, and finished goods.

There Are Two Types of Investment: ________ Investment-The Spending by Business