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Narrbegin Exhibit 11 -Use the Information in Exhibit 11

Question 20

Multiple Choice

Narrbegin Exhibit 11.3 GDP data (billions of dollars)
 Capital depreciation 950 Change in business inventory 50 Compensation of employees 5000 Corporate profit 600 Durable goods 600 Exports 100 Factor payments from the rest of the world 360 Factor payments to the rest of the world 300 Farm income 300 Gross private domestic investment 1000 Government spending 800 Imports 150 Net interest 500 Non-durable goods 2000 Non-farm income 700 Proprietors’ income 1000 Rental income 100 Services 4000\begin{array}{|l|r|}\hline \text { Capital depreciation } & 950 \\\hline \text { Change in business inventory } & 50 \\\hline \text { Compensation of employees } & 5000 \\\hline \text { Corporate profit } & 600 \\\hline \text { Durable goods } & 600 \\\hline \text { Exports } & 100 \\\hline \text { Factor payments from the rest of the world } & 360 \\\hline \text { Factor payments to the rest of the world } & 300 \\\hline \text { Farm income } & 300 \\\hline \text { Gross private domestic investment } & 1000 \\\hline \text { Government spending } & 800 \\\hline \text { Imports } & 150 \\\hline \text { Net interest } & 500 \\\hline \text { Non-durable goods } & 2000 \\\hline \text { Non-farm income } & 700 \\\hline \text { Proprietors' income } & 1000 \\\hline \text { Rental income } & 100 \\\hline \text { Services } & 4000\\\hline \end{array}

-Use the information in Exhibit 11.3 to compute personal consumption expenditures. Which of the following is correct?


A) $6750 billion.
B) $6600 billion.
C) $6550 billion.
D) $6100 billion.

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