George Lived in a Home That Was Newly Constructed in 2005

question 250

Multiple Choice

George lived in a home that was newly constructed in 2005 for which he paid $200,000. In 2008 he sold the house for $225,000. Which of the following statements is correct regarding the sale of the house?

• A)The 2008 sale increased 2008 GDP by $225,000 and had no effect on 2005 GDP.
• B)The 2008 sale increased 2008 GDP by $25,000 and had no effect on 2005 GDP.
• C)The 2008 sale increased 2008 GDP by $225,000; furthermore, the 2008 sale caused 2005 GDP to be revised upward by $25,000.
• D)The 2008 sale affected neither 2008 GDP nor 2005 GDP.

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Definitions:

Digital Modules

Electronic components that are used to process digital signals within a computer or electronic system.

Discrete Modules

Specialized modules in automation systems designed for processing binary inputs and outputs, such as switches and indicators.

Analog Interface Input

Circuitry or devices that receive analog signals and convert them into a form that can be processed or analyzed by a digital system.

Thermocouple

A temperature sensor made by joining two different metals that generate a voltage proportional to a temperature difference.