An Economy Produces 500,000 Tables Valued at $100 Each

Multiple Choice

An economy produces 500,000 tables valued at $100 each. Households purchase 100,000 tables, of which 50,000 are imported. Businesses purchase 200,000 domestically produced tables, the government purchases 100,000 domestically produced tables, and 50,000 domestically produced tables are sold abroad. The unsold tables at the end of the year are held in inventory by the table manufacturers. What is value of GDP?

A) $5 million
B) $40 million
C) $45 million
D) $50 million