Question

Suppose the following transactions occur during the current year:1. Darnell orders 50 bottles of champagne from a French distributor at a price of $75 per bottle.2. A U.S. company sells 200 transistors to a Spanish company at $15.00 per transistor.3. Jacques, a U.S. citizen, pays $900 for a TV he orders from Cosmart (a U.S. company). Complete the following table by indicating how the combined effects of these transactions will be reflected in the U.S. national accounts for the current year.Hint: Be sure to enter a “0” if none of the transactions listed are included in a given category and to enter a minus sign when the balance is negative.Consumption Amount (Dollars)
investment
gov. purchases
imports
exports
net exports
GDP

Answer 1

Answer:

Imports: 3750

Exports: 3,000

net exports: -750

GDP = 900 - 750 = 150

Explanation:

Darnell transaction is an import, it is trading for foreing goods.

50 bottles at $75 each total $3,750

the sales from the US company aboard will be considered export.

200 transistors at $15 each total $3,000

The international commerce balance will be 3000 - 3750 = 750

The citizen doing a purchase to a national company will be part of the GDP

along with the international commerce balance

GDP = 900 - 750 net export = 150

None of these activities qualifies as investment or goverment spending.