Which of the Following Is Not Considered a Component of Government

question 201

Multiple Choice

Which of the following is not considered a component of government purchases in calculating GDP?

• A)the cost of a new federal prison
• B)the cost of building a new road
• C)unemployment compensation payments
• D)payments made to plow public roads after a snowstorm
• E)the cost of police protection

Recognize the adjustments necessary for intra-entity sales of inventory in preparing consolidated financial statements.

Identify the effects of the equity method of accounting on consolidation, particularly with regards to intra-entity transactions.

Understand the consolidation process including the elimination of intra-entity transactions.

Analyze the impact of intra-entity sales of inventory on consolidated financial statements.

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