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How Does GDP Account for Something That Was Produced for Sale

Question 20

Multiple Choice

How does GDP account for something that was produced for sale in one year and sold in the next year?


A) It is counted in the first year and anything that happens latter does not count.
B) It is counted in the second year.
C) It is counted as an addition to inventory (which is in business investment) in the year it. was produced and the markup is counted in the year in which it is sold.
D) It is counted twice.

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