A firm has 50 computers.Every year,they buy 3 new ones and get rid of 3 old ones.In this case,investment is equal to ________ and net investment is equal to ________.
A) 3; 3
B) 3; 0
C) 3; -3
D) 6; 3
E) 3; 6

Question

Quizplus · Accepted Answer

Investment is equal to the number of new computers bought each year, which is 3 in this case. 
Net investment is equal to the difference between the number of new computers bought and the number of old ones disposed of, which is 0 in this case as they are disposing of the same number of computers as they are buying. Therefore, the answer is B.

A Firm Has 50 Computers