Question

AA Appliances sells refrigerators. In 2015 it added $100,000 to its inventory. $10,000 of this addition was from used refrigerators, and the remaining $90,000 was from their purchases of newly manufactured refrigerators. How much of AA’s inventory is included in 2015 GDP?

Answer 1

Answer:

$90,000

Explanation:

Given that

Added amount to inventory = $100,000

Used amount for refrigerator = $10,000

Purchase of newly manufactured refrigerator = $90,000

So by considering the above information, the amount that is included would be $90,000 as this amount reflect the newly refrigerator amount and the other $10,000 would already be used so this amount is not relevant.