-Using the Data in the Table Above, Gross Domestic Product

question 319

Multiple Choice

$$\begin{array} { | l | l | } \hline \text { Corporate profits } & \$ 200 \\\hline \text { Net interest } & 150 \\\hline \text { Indirect taxes less sub sidies } & 230 \\\hline \text { Depreciation } & 250 \\\hline \text { Compensation of employees } & 1,350 \\\hline \text { Proprietor's inc ome } & 150 \\\hline \text { Rental income } & 70 \\\hline \begin{array} { l } \text { Personal consumption } \\\text { expenditures }\end{array} & 1,400 \\\hline \begin{array} { l } \text { Government exp enditure on } \\\text { goods } \\\text { and services }\end{array} & 500 \\\hline \text { Net exports of goods and services } & 40 \\\hline\end{array}$$
-Using the data in the table above, gross domestic product equals

• A) $2,400.
• B) $1,920.
• C) $2,150.
• D) $1,940.

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Definitions:

Simple Delivery Contract

A contract that involves the transfer of goods from the seller to the buyer through direct delivery.

Identified to the Contract

Refers to goods that have been designated as the subject matter of a sales or service contract.

Insurable Interest

A stake in the preservation of a person or property that is sufficiently substantial to justify purchasing insurance.

Risk Exposure

The degree of vulnerability to potential financial loss in business operations or investments.