Use the Following Information Below to Answer the Following Question(s)

Multiple Choice

Use the following information below to answer the following question(s) : C = 800 + 0.65YD
I = 750
G = 1500
T = 900
-Refer to the information above. Suppose government spending decreases by 400 for the above economy. Given the above information, we know that equilibrium output will decrease by:

A) 844.
B) 244.
C) 2144.
D) 1144.
E) 444.