ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The portion of income not spent on current expenditures:
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Savings
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Net income
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Gross income
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Financail goal
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Explanation:
Detailed explanation-1: -The part of income not spent is called saving. We know, income in economics is the summation of consumption expenditure and saving. Thus the part of the income which is not spent for consumption expenditure, it is known as saving.
Detailed explanation-2: -Saving is the portion of income not spent on current expenditures. In other words, it is the money set aside for future use and not spent immediately. Why should we save money?
Detailed explanation-3: -Disposable Income. A Marker of Economy Health.
Detailed explanation-4: -In macroeconomics, income= consumption + savings. Therefore when consumption expenditure is equal to income, savings is zero.
There is 1 question to complete.