If DI is $275 billion and the APC is 0.8,it can be concluded that saving is $55 billion.

Name: If DI is $275 billion and the APC is 0.8,it can be concluded that saving is $55 billion.
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Quizplus · Accepted Answer

The formula for saving is DI - C, where C is consumption expenditure. The formula for APC is C/DI. Rearranging the APC formula, we get C = APC x DI. Plugging in the values given in the question, we get C = 0.8 x $275 billion = $220 billion. Therefore, saving = DI - C = $275 billion - $220 billion = $55 billion.

If DI Is $275 Billion and the APC Is 0