All of the following are examples of spending on factors of production in the circular flow model except
A) Bima hires two students to work at his ice-cream store.
B) Iris buys a dozen roses for her mother's birthday.
C) Get Fit Together purchases 3 new treadmills for its gym.
D) The Banyan Tree rents a much larger property so that it can add a restaurant to its facilities.
Question 2
If an employee receives health insurance through his or her employer, the employer
A) still withholds contributions for Medicare and Medicaid from the employee's paycheck.
B) still withholds contributions for Medicaid, but not Medicare, from the employee's paycheck.
C) still withholds contributions for Medicare, but not Medicaid, from the employee's paycheck.
D) is no longer required to withhold contributions for Medicare or Medicaid from the employee's paycheck.