If 10 Farmers Generate R9 500 000 in Real GDP

question 56

Multiple Choice

If 10 farmers generate R9 500 000 in real GDP, the output per worker would be

• A)R18 000
• B)R95 000
• C)R950 000
• D)R9 500 000

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Definitions:

Discount Rate

The interest rate used in discounted cash flow (DCF) analysis to determine the present value of future cash flows.

Net Cash Flows

The difference between a company's total cash inflows and total cash outflows over a specific period, highlighting its financial health.

Weighted Cost

Refers to the cost of capital that is calculated by taking the weighted average of the costs of all sources of capital, including debt and equity.

Financing

The act of providing funds for business activities, making purchases, or investing.