Question

Tina walks into Ted’s sporting goods store and buys a punching bag for $100. That $100 payment counts as _______________ for Tina and _______________ for Ted.

Answer 1

The correct answer is Expenditure; income.

Step-by-step explanation:

An expense is an outflow or outflow of money that a person or company must pay to prove their right to an item or to receive a service. However, there are lumps and differences between the money that a person allocates (because she does not recover it) from the money that a company allocates. Because the company does recover it by generating income, therefore it "does not spend it" but uses it as part of its investment.

The company in its commercial activity receives money for providing its services or selling its products. In this way, business assets are increased. Therefore, income, whether monetary or not, is framed within the consumption and profit equation.