Inventories Are Included in the Computation of Gross Domestic Product

question 13

Multiple Choice

Inventories are included in the computation of gross domestic product as part of

• A) nonresidential fixed investment.
• B) residential fixed investment.
• C) depreciation allowances.
• D) the total capital stock.
• E) none of the above.

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Definitions:

Limited Partner

A partner in a partnership whose liability is limited to the amount of their investment, and who typically does not participate in the day-to-day management of the business.

Limited Partnership

A form of partnership consisting of at least one general partner and one limited partner, where the latter has limited liability.

Capital Contribution

The act of injecting funds or other assets into a company or partnership by its owners or partners to support its operations or investment activities.

Limited Partners

Investors in a partnership who have limited liability to the extent of their investment in the company and do not participate in day-to-day management.