If Nominal GDP Is $2,000 Billion and the GDP Price

question 34

Multiple Choice

If nominal GDP is $2,000 billion and the GDP price index is 120,then real GDP is ________ billion.

• A)$2,000
• B)$1,667
• C)$16.67
• D)$240
• E)$6

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Definitions:

Minimum Required Rate Of Return

The lowest acceptable rate of return on an investment, considering its risk and the opportunity cost of forgoing other investments.

Average Operating Assets

The average value of the assets that are used in the normal operations of a business, calculated over a specific period of time.

Net Operating Income

The profit generated from a company's everyday operational activities, excluding taxes and interest.

Sales

The total revenue earned from selling goods or services over a specific time period.