Which of the Following Items Is Included in the Calculation

question 8

Multiple Choice

Which of the following items is included in the calculation of GDP?

• A) Purchase of 100 shares of General Motors stock.
• B) Purchase of a used car.
• C) The value of a homemaker's services.
• D) Sale of Gulf War military surplus.
• E) None of the above would be included.

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Definitions:

Variable Manufacturing Overhead

Costs in the manufacturing process that change with the level of production output, such as utilities and materials used in production.

Last Month

Refers to the period of time from the first to the last day of the month immediately preceding the current month.

Variable Overhead Efficiency Variance

The difference between the actual hours taken to produce goods and the standard hours expected, multiplied by the variable overhead rate.

Variable Manufacturing Overhead

Costs in the manufacturing process that fluctuate with the level of production activity, such as utilities and materials.