The Value of Goods Added to a Firm's Inventory in a Certain

question 112

Multiple Choice

The value of goods added to a firm's inventory in a certain year is treated as

• A)consumption, since the goods will be sold to consumers in another period.
• B)saving, since the goods are being saved until they are sold in another period.
• C)investment, since GDP aims to measure the value of the economy's production.
• D)spending on durable goods, since the goods could not be inventoried unless they were durable.