Which of the Following Is Included in GDP

question 386

Multiple Choice

Which of the following is included in GDP?

• A) A computer manufacturer produces and sells a computer.
• B) A woman mows her own yard and trims her own hedges.
• C) An individual smuggles illegal drugs into the country and sells them.
• D) An illegal gambling operation profits from secret betting activities.

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Definitions:

Current Assets

Assets that a company expects to convert into cash, sell, or consume within one year or the operating cycle, whichever is longer.

Net Income

Calculated as revenue minus the cost of goods sold, operating expenses, and taxes, representing the company's earnings.

Deferred Charges

Costs or expenses that are incurred in one period but are not reported until a future period on the income statement.

Balance Sheet

An account statement that outlines the financial position of a company, including what it owns, owes, and the equity interest of its investors at a given time.