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1a. Explain why it is the case that the value of intermediate goods produced and sold during the year is not included directly as part of GDP, but the value of intermediate goods produced and not sold is included directly as part of GDP.
1b. Since it is counted as investment, why doesn't the purchase of earthmoving equipment from China by a U.S. corporation increase U.S. GDP?
Identify the immediate effect of each of the following events on U.S. GDP and its components. Carefully explain your answer.
1c. James receives a Social Security check.
1d. John buys an Italian sports car.
1e. Henry buys domestically produced tools for his construction company.
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Q. A prior period adjustment that corrects income of a prior period requires that an entry be made to a. an income statement account. b. a current year revenue or expense account.
what managers should know about internal rate of return (IRR) and why?
Which of the following events would be recorded as an accounting event? Answer a. A guest purchases a meal in a food outlet.
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