Question

1. Activities included (and not included) in the calculation of GDP The gross domestic product (GDP) of the United States is defined as the market value of ▼ all final goods and services produced re United Statesin a given period of time market value of wholesale cost of Based on this definition, indicate which of the following transactions will s, directly increase) the GDP of the United States in 2017 cost of producing 2017 GDP Scenario An accountant starts a client's 2017 tax return on April 14, 2018, finishing it just before midnight on April 15, 2018 Zippycar, a U.S. automobile company, produces a convertible at a manufacturing plant in Minneapolis on January 6, 2017. It sells the car at a dealership in Miami on February 2, 2017 Fastlane, a Japanese automobile company, produces a sedan at a plant in Indiana on December 14, 2017. A family buys the sedan on December 24 Included Excluded Athleticus, a U.S. shoe company, produces a pair of sneakers at a plant in Vietnam on March 11, 2017. Athleticus imports the pair of sneakers into the United States on May 29, 2017 Graincorp, a U.S. agricultural company, produces corn syrup at a plant in Iowa on September 25, 2017. It sells the corn syrup to Crunchy's for use in the production of cereal that will be made in the United States in 2017. (Note: Focus exclusively on whether production of the corn syrup increases GDP directly, and ignore the effect of production of thee cereal on GDP.)
Please explain and fill in. thank you:)

Answer 1

GDP is defined as the market value of all the final goods and services which are produced within the United states by resources in a given period of time An accountant starts client's 2017 tax return on April 14,1018 and finishing it just before midnight on April 15, 2018 -this will not included because it is finished in the year 2018 Zippy car which is the US automobile company, manufactured plant on Jan 2017 and sells the car on Feb 2017 this will be included in GDP as the production and selling of car happened in the year 2017 Fastlane which is the Japanese company, produces a Sedan in Indiana. -this will be included in GDP because Though the company is Japanese, but it produces the goods using the resources within US Athletics which is the US company, produces the pair of sneakers in Vietnam and imports to US - this will not be included as this is produced outside the territory of US GrainCorp which is US company, produces corn syrup and sells this syrup for the production of cereal. - this will not included because GDP is the market value of all final goods and services within US not intermediate goods Summary 2017 GDP Included Excluded Scenario An accountant starts a client's 2017 tax return on April 14, 2018, finishing it just before midnight on April 15, 2018. Zippycar, a U.S. automobile compeny, produces a convertible at e manufacturing plant in Minneapolis on January 6, 2017, It sells the car at a dealership in Miami on February 2, 2017 Fastlane, a Japanese automobile company, produces a sedan ฮเล Dlant in Indiana on December 14, 2017. A family buys the sedan on December 24. Athletas, a U.S shoe company, produces ล pair of sneakers aa plant in Vietnam on March 11, 2017, Athletics imports the pair of sneakers into the United States on May 29, 2017 Graincoro, a US. agricultural eompany, produces eorn syrup at ล plant in Iowa on September 25, 2017. It sells the com syrup to Crunchy's for use in the production of cereal that will be made in the United States in 2017. (Note: Focus exclusively on whether production of the corn syrup increases GDP directly, and ignore the effect of production of the cereal on GDP.)