Use the Following to Answer Questions

question 198

Multiple Choice

Use the following to answer questions:
Table: Real and Nominal Output
-(Table: Real and Nominal Output) Look at the table Real and Nominal Output. Assuming year 3 is the base year, real output in year 4 is:

• A)$100.
• B)$120.
• C)$140.
• D)$200.

---

Definitions:

FOB Destination

A term used in shipping indicating that goods are considered delivered and the seller is responsible for them until they reach the buyer’s location.

Perpetual Inventory System

An inventory management system where updates are made continuously to record sales and purchases in real-time.

Inventory Sold

Inventory sold refers to the goods or merchandise a company sells to its customers during a specific period, which were previously part of the company's inventory.

Perpetual Inventory System

A method of accounting for inventory that updates the inventory levels continuously after each purchase, sale, or return.