Identify the impact of an increase in the inventory stock during ...

[gonzo233]

Identify the impact of an increase in the inventory stock during a year.
 a. Consumption spending will decrease thereby reducing the GDP.
  b. The GDP of a country should decrease by the amount of the increase in inventory.
  c. The capital investment in a country will increase.
  d. Neither the capital investment nor the GDP will change.
  e. The GDP of a country should increase by the amount of the increase in inventory.

Question 2

A soft-drink bottling company supplies six-packs of orange flavored soda to retailers for a price of 2 each. If the components in each six-pack costs the bottling company 1.50, the value added, to each six-pack, by the bottling company is:
 a. 2.00.
  b. 1.50.
  c. 1.25.
  d. 1.00.
  e. 0.50.

[shoemake]

Answer to Question 1

e

Answer to Question 2

e