(20 points) Goal: Master the production approach. Consider the following data on the economy

of a country named Eetaly:

(a) Farmers sold $15,000 of oranges to juice producers & exported $3,000.

Expenses: rent ($1,000), wages ($11,000).

(b) Juice producers sold $14,000 of juice to cafes.

Expenses: ($12,000) worth of oranges from local growers and paid ($2,000) in wages.

(c) Cafes sold $60,000 of meals & drinks.

Expenses: imported steak ($20,000), juice ($14,000), wages ($22,000), rent ($5,000).

(d) Local producers sold $150,000 worth of clothes.

Expenses were ($45,000) worth of imported cotton, ($25,000) for a new imported machine

imported, and ($85,000) in wages.

(e) A domestically owned, but foreign located cotton producer sold $25,000 of cotton.

Expenses: $10,000 in wages to foreign workers. This firm rebates its profits ($15,000) to

domestic consumers.

(f) Government collected $10,000 in taxes from its citizens and paid $10,000 to soldiers.

(15 points) Your goal is to compute the GDP and the GNP of Eetaly. To do so, complete the

following table:

Economic Entity Intermediate Goods Value Added Production Value

Farmers

Juice Producers

Cafes

Local Producers

Government

(5 points) Based on the computation you made above, what is the GDP of Eetaly? What is

the GNP of Eetaly?

GDP is:

GNP is:

This