Q1 suppose that mnl logs harvested the logs in october 2011

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Q1. Suppose that MNL Logs harvested the logs in October 2011 and sold them to MNL number in December 2011. MNL number then sold the finished number to MNL Furniture in April 2012 and MNL Furniture sold all 100 tables during the rest of 2012. By how much did GDP increase in 2011 and 2012 due to these transactions?

Q2. John and Mary each buy a new house for $400,000. Mary pays cash. John borrows the full $400,000 from the bank and pays interest at the market interest rate of 4 percent. Is it correct to say that the cost to Mary of living in her house is less than the cost to John? Why or why not?

Reference no: EM13352621

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