Question

Charles orders 40 cases of mescal from a Mexican distributor at a price of $90 per case. 2. A U.S. company sells 200 spark plugs to a Korean company at $5.00 per spark plug. 3. Gilberto, a U.S. citizen, pays $1,500 for a laptop he orders from Microell (a U.S. company).Complete the following table by indicating how the combined effects of these transactions will be reflected in the U.S. national accounts for the current year.Hint: Be sure to enter a "0" if none of the transactions listed are included in a given category and to enter a minus sign when the balance is negative.Amount(Dollars)Consumption Investment Government Purchases Imports Exports Net Exports Gross Domestic Product (GDP)

Answer 1

Answer:consumption= 4600, Investment=0 , Government Purchases=0

imports = 3600, exports= 1000, net exports= -2600, GDP=2000

Step-by-step explanation:

Charles order will be considered as imports which are 40*90=3600

us company's selling will be considered as exports which are 200* 5 =1000

net exports (NX) = exports (x) - imports (M)

- 2600 = 1000 - 3600

NX = -2600

total consumption (c) = exports + imports

4600 = 1000 + 3600

C = 4600

GDP ( gross domestic product) is the final value of good and services which are produced within an economy

open economy is when there is free trade between countries and there are no restriction on imports and exports of goods and services;

GDP = C + G + I+ NX

GDP = 4600 +0+0 +(-2600)

GDP =4600-2600

GDP=2000

Investment and Government Purchases are considered s 0 as no transaction is given.