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Suppose That in 2018,ABC Corporation Produced $6 Million Worth of Natural

Question 105

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Suppose that in 2018,ABC Corporation produced $6 million worth of natural gas pipes but was able to sell only $5 million worth.Is the remaining $1 million of unsold pipes part of GDP for 2018?


A) Yes,since changes in inventories are part of consumption expenditures.
B) Yes,since they are part of the economy's output in 2018.
C) No,since changes in inventories are part of actual investment.
D) No,since they are part of the economy's output only when sold.
E) No,since they are added to existing inventories.

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