Which of the Following Does Nominal GDP Measure

question 190

Multiple Choice

Which of the following does nominal GDP measure?

• A)the total quantity of final goods and services produced
• B)the dollar value of the economy's output of final goods and services
• C)the total income received from producing final goods and services in constant dollars
• D)the price level

---

Definitions:

Unit Product Cost

The total cost associated with manufacturing a single unit of product, including direct materials, labor, and overhead expenses.

Predetermined Overhead Rate

A rate used to apply overhead costs to products, calculated before the accounting period begins based on estimated costs and activity levels.

Manufacturing Overhead

refers to all the indirect costs associated with the production process, excluding direct materials and direct labor.

Direct Labor-Hours

The total time worked by employees directly involved in manufacturing a product or providing a service.