In Order to Convert Nominal GDP to Real GDP,we Must

question 86

Multiple Choice

In order to convert nominal GDP to real GDP,we must divide

• A)real GDP by the price index
• B)nominal GDP by the price index
• C)the price index by nominal GDP
• D)the price index by real GDP
• E)nominal GDP by real GDP

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Definitions:

Tax Withheld

Funds that an employer deducts from an employee's wages for tax purposes, to be paid directly to the government.

Tax Return

The annual document submitted to a tax authority that reports income, expenses, and other relevant tax information, used to determine tax liability.

Compensation

Payment or reward given to employees in exchange for their services or the loss suffered, including salary, wages, benefits, and other forms.

Form 1040EZ

A simplified version of the IRS income tax return form for individuals with uncomplicated financial situations, no longer in use as of the 2019 tax year.