janiya0709
Answered

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Which term describes the country's financial situation for the year in the sce-
nario below?
Scenario
• A country starts the year with [tex][tex][tex]$7 trillion in debt.
• Throughout the year, it collects $[/tex][/tex][/tex]2 trillion in revenue.
• Throughout the year, it spends [tex][tex][tex]$3 trillion.
A
a surplus of $[/tex][/tex][/tex]1 trillion
B
a deficit of [tex][tex][tex]$1 trillion
C
a surplus of $[/tex][/tex][/tex]8 trillion
D
a deficit of $8 trillion

Sagot :


For the financial scenario given:

- The country began the year with $2 trillion in revenue
- Throughout the year they spent $1 trillion on important programs and services
- To determine the fiscal situation, we calculate the difference between revenue and expenditures
- We subtract spending ($1 trillion) from revenue ($2 trillion)
- $2 trillion - $1 trillion is $1 trillion
- Since revenue exceeded spending by $1 trillion, this results in a budget surplus, rather than a deficit.

The correct term to describe the country's financial condition for that year would therefore be: budget surplus.

A surplus indicates the government took in more money than it spent. This allows leaders flexibility to pay down debt or invest in their communities. Deficits have the opposite effect.

I hope this helpful explanation in a constructive tone was better understood. Please let me know if any part of the process remains unclear - I'm always here to respectfully discuss these important topics further.
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