The table below shows the values for several different components of GDP. Category Billions of DollarsPersonal consumption expenditures $245Net foreign factor income 4Transfer payments 12Rents 14Consumption of fixed capital (depreciation) 27Statistical discrepancy 8Social Security contributions 20Interest 13Proprietor's income 33Net exports 11Dividends 16Compensation of employees 223Taxes on production and imports 18Undistributed corporate profits 21Personal taxes 26Corporate income taxes 19Corporate profits 56Government purchases 72Net private domestic investment 33Personal saving 20Imports 15 Instructions: Enter your answers as whole number. a. What is the value of exports? $ billion b. What is the value of national income? $ billion c. What is the GDP? $ billion d. What is the value of personal income? $ billion

(a) A hypothetical national income data for a country in particular year is presented below:ITEM $MILLIONWages and salaries 250Income paid abroad 75Income from self-employment 120Stock appreciation 5Interest 10Income received from abroad 50Rent 25Depreciation allowance 3Royalties 2Profits and dividends 35From the data, answer the following questions.Calculate the: Gross Domestic Product (GDP)

What is excluded in the calculation of GDP?  A. Personal income  B. Government transfer payments  C. Exports of goods and services  D. Business profits

If GDP (measured in billions of current dollars) is $5,465, consumption is $3,657, investment is $741, and net exports are –$1,910, then government purchases are:

Identify which of the following measures are used to calculate national income.     a. Personal consumption expenditures:       b. Net foreign factor income:      c. Transfer payments:      d. Rents:      e. Consumption of fixed capital (depreciation):      f. Statistical discrepancy:      g. Social Security contributions:      h. Interest:      i. Proprietors’ income:      j. Net exports:      k. Dividends:      l. Compensation of employees:      m. Taxes on production and imports:      n. Undistributed corporate profits:      o. Personal taxes:      p. Corporate income taxes:      q. Corporate profits:      r. Government purchases:      s. Net private domestic investment:      t. Personal saving:      u. Gross private domestic investment:

This is a component of GDP that is determined by this entity’s spending on public works, national defense, public education and other similar expenditures.Select one:a. Investmentsb. Net Exportsc. Governmentd. Consumption