Gelato Ice Cream Maker Shows the Following on Its Balance

question 92

Multiple Choice

Gelato ice cream maker shows the following on its balance sheet: revenue $200M,wages $100M,milk expenses $50M,strawberry purchases $5M,and taxes $25M. What is Gelato's contribution to GDP using the income approach?

• A) $100M
• B) $125M
• C) $145M
• D) $200M

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Definitions:

Payoff Matrix

A payoff matrix is a table that shows the potential outcomes or payoffs from different strategies chosen by players in a strategic game.

Strategy Combinations

Various tactics or methods combined and deployed by businesses or individuals to achieve desired goals or outcomes.

Target Payoffs

Expected or desired financial returns from an investment strategy or economic activity.

Collusion

An agreement between firms, typically secret, to limit competition among themselves, such as by setting prices or output levels.