A company produced 8 dishwasher machines in 2012.The company sold 6 in 2012 and added 2 to its inventories.The market value of the dishwasher machines in 2012 was $200 per unit.What is the value of this company's output that will be included in the 2012 GDP?

Question

Quizplus · Accepted Answer

The value of the output is calculated as (number of units sold x market value per unit) + (change in inventory x market value per unit). 
In this case, the calculation would be: 
(6 x $200) + ((8-2) x $200) = $1,200 + $1,200 = $2,400 
However, we only want to include the value of the output that was produced in 2012, which would be the 6 units sold in 2012. Therefore, the value of the company's output that will be included in the 2012 GDP is $1,200.

A Company Produced 8 Dishwasher Machines in 2012