Final answer:
The sale of American-grown corn to China is counted in the export category of GDP, which contributes to the total GDP value of the exporting country. To calculate GDP, add consumption, investment, government spending, and exports together, then subtract imports. The correct option is C.
Step-by-step explanation:
The sale of American-grown corn to China is included in the export category of GDP. When calculating a country's GDP, all exports are added to the total value. This is because exports represent the goods and services produced in one country and sold to residents of another country, contributing to the producing country's economy. In contrast, imports, which are goods and services bought by residents from other countries, are subtracted from the GDP.
For example, if Country A has export sales of $20 billion, this amount contributes to the country's GDP. Using other provided information, the total dollar value of Country A's GDP is the sum of consumption spending, government purchases, business investment, and export sales, minus the imports.
So, the calculation would be GDP = Consumption Spending + Government Purchases + Business Investment + Export Sales - Imports, which in numbers is GDP= $2,000 billion + $1,000 billion + $50 billion + $20 billion - $40 billion = $3,030 billion.
Hence, Option C is correct.