If a small country has current nominal GDP of $20 billion and the GDP deflator is 50, what is its real GDP?

Name: If a small country has current nominal GDP of $20 billion and the GDP deflator is 50, what is its real GDP?
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Question

Quizplus · Accepted Answer

Real GDP can be calculated by dividing nominal GDP by the GDP deflator and then multiplying by 100. 
Real GDP = (Nominal GDP / GDP Deflator) x 100
Real GDP = (20 billion / 50) x 100
Real GDP = 400
Therefore, the real GDP of this small country is $40 billion.

If a Small Country Has Current Nominal GDP of $20