When a Firm Produces Consumer Goods and Adds Some to Inventory

question 25

Multiple Choice

When a firm produces consumer goods and adds some to inventory rather than selling them, how is the increase in inventory counted in GDP?

• A) It is counted in the current quarter GDP as capital consumption allowance.
• B) It is counted in the current quarter GDP as investment.
• C) It is counted in the current quarter GDP as consumption.
• D) It is counted in the current quarter GDP as a statistical discrepancy.

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Definitions:

Total Parenteral Nutrition

A method of feeding that bypasses the gastrointestinal tract, providing nutrition directly into the bloodstream through intravenous infusion.

Gastrostomy Feedings

The process of delivering nutrition directly into the stomach through a tube, used when someone cannot eat by mouth.

Tracheoesophageal Fistula

An abnormal connection (fistula) between the trachea and the esophagus, which can lead to breathing and feeding difficulties and often requires surgical correction.

Replogle Tube

A dual-lumen tube used primarily in neonates for gastric decompression and to remove gastric secretions.