Business College

When calculating GDP, investment refers to the:
O amount of new capital goods sold in a given year.
O purchase of stocks, bonds, or other financial assets.
.O purchase of new capital goods like equipment and factories.

Answers

Answer 1

Answer: When calculating GDP, investment refers to the purchase of new capital goods like equipment and factories.

Explanation: The gross domestic product is the monetary value of all finished products and services produced in a nation over a specified time period. The expenditure approach, often known as the spending approach, estimates the expenditures of the various economic participants. This strategy can be determined using the formula below:

GDP=C+G+I+NX

Where,

C=Consumption, G=Government spending, I=Investment, NX=Net exports

Investment does not include the purchase of stocks and bonds or the trading of financial assets when calculating GDP. It refers to the acquisition of new capital goods, which includes business equipment, new commercial real estate (including buildings, factories, and stores), residential dwelling construction, and inventory.

For more information on how to calculate GDP:

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Related Questions

Please answer the question in the image below.

Answers

The expected return of your portfolio is $ 8, 903. 60 .

How to find the expected return ?

The expected return on your portfolio can be found by the formula :

= ∑ ( Investment in investment vehicle x Return on investment vehicle )

This means that the expected return on the portfolio is :

= ( ( 24 % x 56, 000 ) x 13 %)) + ( 31 , 000 x 16 % ) +  ( ( 56 , 000 - 31, 000 - ( 56,000 x 24 %) ) x 19 %)

= $ 8, 903. 60

Find out more on expected return at https://brainly.com/question/19264404

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