Which of the Following Statements Is True?
A) Nominal GDP $\div$

question 41

Multiple Choice

Which of the following statements is true?

• A) Nominal GDP = (price index \(\div\) real GDP)\(\times\) 100
• B) Nominal GDP = (real GDP \(\div\) price index)\(\times\) 100
• C) Real GDP = (price index \(\div\) nominal GDP)\(\times\) 100
• D) Real GDP = (nominal GDP \(\div\) price index)\(\times\) 100
• E) Price index = (real GDP \(\div\) nominal GDP)\(\times\) 100

---

Definitions:

U.S. GAAP

United States Generally Accepted Accounting Principles, a set of rules and guidelines meant to ensure financial reporting consistency and transparency.

Geographic Segment

A part of a business that operates in a specific geographical area that is significant enough to require separate financial reporting.

U.S. GAAP

Short for United States Generally Accepted Accounting Principles, it represents the framework and specific rules for financial accounting and reporting in the U.S.

Gross Profit

The difference between revenue and the cost of goods sold, representing the amount before operating expenses, interest, and taxes are deducted.