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8_murik_8 [283]
3 years ago
6

Answer the question in the pic.

Business
2 answers:
CaHeK987 [17]3 years ago
7 0

Answer:

Uhhhhhhh There's no picture.

Helga [31]3 years ago
3 0

Answer:

what pic

Explanation:

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In the base year in a small island macroeconomy, nominal GDP was $400m. In a later year when the general level of all prices was
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Both options C and D are correct.

Explanation:

Inflation refers to an increase in the general price level of goods and services overtime. Since it is conveyed in the question that the general price level in a later year became twice as high, inflation definitely occurred. Hence, option D is correct.

Nominal GDP is the value of the total output at current market prices. Real GDP adjusts that value for inflation. As prices double, nominal GDP ought to increase from $400m to $800m. However, it actually rose to $1000m. This additional increase of $200m shows that the real GDP has risen. However, the increase in real GDP is less than 100%. This implies option C is also correct.  

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The selling price of the product can be computed by adding the mark-up per unit to the cost price of each unit.

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