Use the Following to Answer Questions

question 50

Multiple Choice

Use the following to answer questions:
-(Table: Peanut Butter and Jelly Economy) Use Table: Peanut Butter and Jelly Economy. In 2011, nominal GDP was _____ and real GDP was _____.

• A) $450; $400
• B) $525; $450
• C) $525; $400
• D) $450; $575

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Definitions:

Cash

A form of currency that includes coins and paper bills.

Capital

The wealth in the form of money or other assets owned by a person or organization or available for purposes such as starting a company or investing.

Fair Value

Fair Value is the estimated market value of an asset or liability, reflecting the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants.

Equipment

Tangible property that is used in the operations of a business, not intended for sale.