Suppose That Nova Scotia Produces Cheese and Fish

Multiple Choice

Suppose that Nova Scotia produces cheese and fish. In 2010, 20 units of cheese are sold at $5 each and 8 units of fish are sold at $50 each. In 2006, the base year, the price of cheese was $10 per unit, and the price of fish was $75 per unit. What can we conclude?

A) Nominal GDP is $500, real GDP is $800, and the GDP deflator is 62.5
B) Nominal GDP is $500, real GDP is $800, and the GDP deflator is 160
C) Nominal GDP is $800, real GDP is $500, and the GDP deflator is 160
D) Nominal GDP is $800, real GDP is $500, and the GDP deflator is 62.5