Suppose the Government's Initial Debt Is $400 Billion

Multiple Choice

Suppose the government's initial debt is $400 billion. If for the next three years the government runs deficits of $150, $125, and $200 billion, the government's additional debt at the end of the three years will be

A) -$50 billion.
B) $50 billion.
C) $475 billion.
D) $900 billion.