In 2012 final sales equal $350 billion and the change in business inventories is -$60 billion.GDP in 2012
A)is $290 billion.
B)is $295 billion.
C)is $410 billion.
D)cannot be determined from this information.

Question

Quizplus · Accepted Answer

GDP is calculated as the sum of final sales and the change in business inventories. Therefore, GDP = $350 billion (final sales) + (-$60 billion) (change in inventories) = $290 billion.

In 2012 Final Sales Equal $350 Billion and the Change