Answer:
GDP grew by $2,200
Explanation:
G<em>ross domestic product (GDP) which is the total market value of all the final goods and services produced in a country over a given period of time. The GDP can be calculated using the value added approach.</em>
Here the GPD figure is ascertained by summing the amount of additional value created by each factor of production at each stage of the production process of the final product.
<em>Only the values added are summed, the cost of the inputs or intermediate goods are not included</em>
<em>In this question, the final value of $2200 represents the amount by which the GDP has increased in the period. This also can be verified using the value-added approach as follows</em>
Value added($)
Gold miner - 600
Mining company : 1000 -600 = 400
Jewerlry maker :1600 - 1000 = 600
Departmental store :2200 -1600 = <u>600</u>
Total value added <u>2,200</u>
Answer: The correct answer is " b. variables measured in terms of money but not variables measured in terms of quantities or relative price".
Explanation: According to classical macroeconomic theory, changes in the money supply affect variables measured in terms of money but not variables measured in terms of quantities or relative price.
Answer:
Option A is correct.
<u>A decrease in the Equity Investment account</u>
Explanation:
Dividend received amount decreases the investment account. Net income interest in investee account is added to the investment account.
Answer:
Option D Research & development and marketing.
Explanation:
Because research and development helps the company transform the product and bring easeness for the company to manufacture and compete in the market due to its features. The company also requires marketing strategy that best suits the introduction of products to its users which means it is very important to market the product because new products require greater level of marketing than ordinary products.
Answer: Debit Depreciation Expense, $150; Credit Accumulated Depreciation, $150
Explanation:
Depreciation is the decrease in fixed assets for use. At the end of each year the amount corresponding to the use of the assets is carried to accounting expenses, crediting the accumulated depreciation as a counterpart.
In this case it is only one month of depreciation, therefore if we know that annually the asset is going to depreciate US $ 1800, between twelve months it would be US $ 150, which would be due to expenses and credited to accumulated depreciation.
