JR sells RV's. In 2010 she added $400,000 to her inventory. $100,000 of this addition was from used RV's she purchased while the remaining $300,000 was from her purchases of newly manufactured RV's. How much of JR's inventory is included in 2010 GDP?

Question

Quizplus · Accepted Answer

Only newly manufactured RV's count towards GDP, so the $300,000 worth of newly manufactured RV's added to the inventory would be included in 2010 GDP. The $100,000 worth of used RV's would not be included in GDP as they were already counted in a previous year. Therefore, the total inventory included in 2010 GDP would be $300,000.

JR Sells RV's