1)

a) A company started last year with $13 million of capital stock on hand and invested $3 million in new capital equipment throughout the year. At the end of the year, the company's capital stock was $

BS+NI+DP

million.What was the amount of net investment in the year?

b) A company started last year with $19 million of capital stock on hand and invested $9 million in new capital equipment throughout the year. At the end of the year, the company's capital stock was $ BS+NI+DP million. What was the amount of depreciation in the year?

2) Last year, Chuckistan had real GDP of $100 billion and a population of2 million. This year, real GDP was $80 billion and population was 2 million. What is the per capita real GDP this year?Round to two decimals, and add units at the end.

3)

What are some distinguishing features between a market and command economy?

Question options:

In a pure command economy there is individual freedom and choice.

In a free market or capitalist economy there is individual ownership of the factors of production.

In a free market economy, the government adopts a laissez fair or hands off approach to the economy.

In a command economy, the government owns the factors of production and determines how they will be used.

4) Nominal GDP will increase

Question options:

only if the average level of prices rises.

only if both the average level of prices rises and the quantity of goods and services produced increases.

only if the quantity of goods and services produced increases.

only if the unemployment rate rises.

if either the average level of prices rises or the quantity of goods and services produced increases.

5) Given that pollution is a by-product of some production processes

Question options:

GDP accountants adjust GDP upward.

GDP tends to understate economic well-being.

GDP accountants do not adjust GDP unless pollution is a serious problem.

GDP tends to overstate economic well-being.

GDP accountants adjust GDP downward.

6)

What determines whether an economic system is a free market or command economy,

Question options:

Nothing. It is just created by nature.

Whether it is called capitalist or communist system

Who owns and controls the factors of production

Whether people are rich or poor