If Australia's real GDP is AUD$434.95 billion in 1999 and the country's average annual growth rate is 2.9 percent, what will its real GDP be in 2004?

Question

Quizplus · Accepted Answer

The correct answer is D: AUD$501.78 billion.To calculate the real GDP in 2004, we can use the formula:Real GDP in 2004 = Real GDP in 1999 * (1 + growth rate)^number of yearsReal GDP in 2004 = AUD$434.95 billion * (1 + 0.029)^5Real GDP in 2004 = AUD$501.78 billion

If Australia's Real GDP Is AUD$434