If Nominal GDP in 2001 Is $9 Trillion,and 2001 Real

question 100

Multiple Choice

If nominal GDP in 2001 is $9 trillion,and 2001 real GDP in 1996 prices is $6 trillion,the GDP deflator price index is

• A)7.
• B)100.
• C)150.
• D)200.

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Definitions:

Inventory Purchased On Account

Transactions where inventory is acquired by a business without immediate cash payment, indicating a credit purchase recorded in accounts payable.

Proper Journal Entry

A record used in accounting to track the transfer of assets, liabilities, or equity from one account to another, ensuring each transaction is accurately captured.

Periodic Inventory System

An inventory accounting system where updates to inventory levels are made at specific intervals, such as monthly or annually, rather than continuously.

Physical Count

A manual inventory verification process where actual items are counted to ensure accuracy of records.