John Buys a Used Car for $5,400 and Spends $600

Multiple Choice

John buys a used car for $5,400 and spends $600 on new parts, made in the U.S., to fix the car. The end result of these two transactions is

A) U.S. consumption purchases increase by $5,400 and U.S. GDP increases by $5,400.
B) U.S. consumption purchases increase by $6,000 and U.S. GDP increases by $6,000.
C) U.S. consumption purchases increase by $600 and U.S. GDP increases by $600.
D) U.S. consumption purchases increase by $600 and U.S. GDP increases by $6,000.