1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Anit [1.1K]
2 years ago
8

Which of the following transactions are included in gross domestic product, and by how much does the GDP raise?

Business
1 answer:
seropon [69]2 years ago
5 0

Answer:

A. Smith pays a carpenter $50,000 to build a garage.  ⇒ INCLUDED, increases GDP by $50,000 because Smith paid for the garage.

B. Smith purchases $10,000 worth of materials and builds a garage, which is worth $50,000.  ⇒ INCLUDED, increases GDP by $10,000 only because Smith built the garage himself.

C. Smith goes to the woods, cut down a tree, and uses the wood to build himself a garage that is worth $50,000.  ⇒ NOT INCLUDED, no services or goods were exchanged, it is the same as growing your own food.

D. The Jones family sells its old house to the Reynolds family for $400,000. The Joneses then buy a newly constructed house from a builder for $500,000.  ⇒ INCLUDED, increases GDP by $500,000 because the Joneses purchased anew house.

E. You purchase a used computer from a friend for $200.  ⇒ NOT INCLUDED, only new goods and services are included.

F. Your university purchases a new mainframe computer from IBM, paying $25,000.   ⇒ INCLUDED, increases GDP by $25,000 because the university purchased a new computer.

G. You win $100 in an Atlantic City casino. ⇒ NOT INCLUDED, casino earnings or lottery earnings are not considered new products or services.

You might be interested in
McCoy’s Fish House purchases a tract of land and an existing building for $900,000. The company plans to remove the old building
kherson [118]

Answer: $962000

Explanation:

From the information given, the amount

that McCoy’s Fish House should record as the cost of the land will be:

Purchase price = $900,000

Add: Title insurance = $2000

Add: Back property tax = $8000

Add: Cost incurred to remove building = $45000

Add: Cost incurred to level the land = $10000

Less: Savage value of materials = $3000

Cost of land = $962000

Therefore, the cost of land is $962000

8 0
3 years ago
epartments have estimated annual factory overhead costs of $256,000 and $480,000, respectively. The Fabrication Dept. expects 25
Phoenix [80]

Answer:

Factory overhead cost charged to each unit:

                                                     Fabrication     Assembly

Factory overhead rates                  $10.24             $0.81

Machine hours per unit                   5

Direct labor cost per unit                                       $118.40

Factory overhead cost per unit   $51.20             $95.90

Explanation:

a) Data and Calculations:

                                         Fabrication            Assembly

Annual overhead costs  $256,000              $480,000

Expected machine hours   25,000                             0

Expected direct labor costs         0               $592,000

Overhead rates                $10.24                  $0.81

                         ($256,000/25,000)             ($480,000/$592,000)

Assuming number of units produced = 5,000

Each unit will consume   5 (25,000/5,000)   $118.40 ($592,000/5,000)

                                    machine hours           direct labor cost

Overhead cost per unit = $51.20                  $95.90

                                     ($10.24 * 5)               ($118.40 * $0.81)

5 0
2 years ago
The U. S. national debt:______________.
Dafna11 [192]

Answer:

d. equals the dollar amount of outstanding U.S. Treasury bonds

Explanation:

The National debt is entirely represented by the total dollar amount of outstanding U.S. Treasury bonds, both those bonds that are held by the public (private citizens), or by other governments.

Currently, the U.S. National Debt is over 24 million, and the amount of debt that can be issued in the form of U.S. Treasury bonds is limited by the national debt ceiling.

3 0
3 years ago
Connor Corp. has large amount of data that they are trying to analyze from the last 15 years. They have an arithmetic sales grow
MrRa [10]

Answer:

11.14%

Explanation:

Blume's formula is used to combine both arithmetic and geometric returns. This is because using arithmetic growth rate exclusively would be overly optimistic for longer time horizons and on the other hand, using geometric growth rates exclusively would be overly pessimistic for short time horizons.

Using the attached formula, plug in the given numbers;

R(T) would be the sale growth rate we need to calculate.

R(T) = \frac{5-1}{15-1} *0.09 + \frac{15-5}{15-1} *0.12

R(T) =0.0257 + 0.0857

R(T) = 0.1114 as a decimal

Therefore, the forecast sales growth would be 11.14%

7 0
3 years ago
Alex has a new idea for a way to cut costs in his department, but he is not willing to share his idea with his boss because the
marshall27 [118]
Reward both successes and failures
7 0
3 years ago
Other questions:
  • "there is no incentive for firms to enter or exit the industry in the long" run when
    8·1 answer
  • Bill and Alma are shopping for their first home. They have found two houses that are nearly identical except for their locations
    15·1 answer
  • An investment in an available-for-sale security is transferred to trading because the company anticipates selling the stock in t
    11·1 answer
  • Which of the following statements regarding the difference between the requirements for a qualifying child and the requirements
    7·1 answer
  • According to supporters of globalization,
    10·1 answer
  • A firm is choosing between two machines. Machine X has a first cost of $5,000 and a useful life of 5 years. Machine Y has a firs
    13·1 answer
  • On January 1, Year 1, Worthy Co. issued $1,000,000 of bonds payable. The bonds mature in five years on December 31, Year 5, and
    8·1 answer
  • There are 10,000 shares of $20 par value cumulative 7 percent preferred stock outstanding, and 90,000 shares of common stock out
    12·1 answer
  • A
    8·1 answer
  • Total Output Price Marginal Revenue Average Total Cost Marginal Cost 1 $ 100 $ 100 $ 100.00 $ 30 2 90 80 63.00 26 3 80 60 52.67
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!