Question

What is difference between gross investment and net investment??Explain in detail (if possible with example).

Answer 1

As my knowledge Net investment is the amount spent by a company or an economy on capital assets, or gross investment, less depreciation. Net investment helps give a sense of how much money a company is spending on capital items used foroperations, such as property, plants, equipment and software.

Answer 2

Net investment is the amount spent by a company or an economy on capital assets, or gross investment, less depreciation. Net investment helps give a sense of how much money a company is spending on capital items used for operations, such as property, plants, equipment and software.

Hope this will help you!!