ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Money arguments are the second leading cause of divorce, behind infidelity. High levels of debt and poor communication lead to stress and anxiety when it comes to finances. Nearly half of couples with $50, 000 or more in debt say money is their top reason for arguing. Nearly 2/3 of all marriages start in debt.

Detailed explanation-2: -Gross profit is the money left over after a company’s costs are deducted from its sales. Gross margin is a company’s gross profit divided by its sales and represents the amount earned in profit per dollar of sales. Gross profit is stated as a number, while gross margin is stated as a percentage.

Detailed explanation-3: -Which of the following statements best explains why income alone does not determine wealth? How much money a person makes does not dictate his or her spending and saving behavior.

Detailed explanation-4: -Cash flow planning is intended to ensure that a business has enough money set aside to deal with any potential unexpected expenses. Knowing exactly how much money is available is vital in ensuring that your company is both solvent enough to cope with any and all outgoings, while also avoiding a negative cash flow.