Why is actual expenditure 45 degrees?
The Aggregate Expenditure Schedule The intersection of the aggregate expenditure line with the 45-degree line—at point E0 in Figure 11.7—will show the equilibrium for the economy, because it is the point where aggregate expenditure is equal to output or real GDP..
What is the difference between actual and planned expenditure?
The difference between planned and actual expenditure is either a surplus or deficit. A planned expenditure is what you think is needed to achieve a particular objective, and the actual expenditure is the reality of what it really costs.
What are planned expenses?
An expenditure plan, also known as a spending plan, is a strategic tool that a small business can use to manage money. The expenditure plan helps in tracking the amount of income or revenue available, and in making decisions on how to use this income and also to save some.
What is planned vs actual?
Planned vs Actual is a feature that indicates the work progress of the user based on the difference in their planned and actual hours. You can view both the total planned hours of a user and the actual hours spent by the user in a project.
What is the difference between budget and expenses?
Budget Total: The budgeted or estimated total for the specified month of the primary budget version. Expense Total: The actual expense incurred for the specified month of the primary budget version.
Why as is 45 degree?
The 45-degree line represents an aggregate supply curve which embodies the idea that, as long as the economy is operating at less than full employment, anything demanded will be supplied.