91.6k views
1 vote
If during 2019, the country of Sildavia recorded a GDP of $65 billion, interest payments of $15 billion, imports of $13 billion, profits of $7 billion, exports of $15 billion, and rent of $7 billion, wages during 2019 in Sildavia were ____.

1 Answer

2 votes

Answer:

$36 billion

Step-by-step explanation:

The formula to compute the GDP under the income approach is shown below:

GDP = Interest payments + profits + rent + wages

$65 billion = $15 billion + $7 billion + $7 billion + wages

$65 billion = $29 billion + wages

So, the wages equal to

= $65 billion - $29 billion

= $36 billion

The net exports or exports less imports values are ignored under the income approach as this are used under the expenditure approach

User George Brown
by
8.1k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.