Answer the following correctly and completely! Simplified Measurement of the Philippine's Annual Gross Domestic Product (assumption). Using the three approaches for GDP: 1.The Expenditure approach
Answer the following correctly and completely!
Simplified Measurement of the Philippine's Annual Gross Domestic Product (assumption).
Using the three approaches for GDP:
1.The Expenditure approach
2.The Income approach
The Industrial origin approach
Assuming the measurement of the Philippine's Annual Gross Domestic Product ( SIMPLIFIED) for the year 2010 using the following approaches: The Final Expenditure Approach The Factors Income Approach The Industrial Origin Approach GIVEN: At current prices (Pesos in millions) a. Personal consumption expenditure - Durable goods (7,579) . Nondurable goods (67,560) Personal services (19,830) b. Private domestic investment Residential fixed (5,210) - Business fixed (15,260) - Change in inventories (4,599) C. Government consumption & investment purchases (19,810) d. Net exports - Export (9,820) . Import (13,480) e. Corporate profits before taxes Corporate profit taxes (3,690) - Dividends (4,250) Undistributed profits (3,390) f. Income of unincorporated enterprises (7,680) g. Depreciation (overall) (9,950) h. Indirect business taxes, adjustments, & statistical discrepancy (28,150) i. Rental income of persons (14,695) j. Net interest (5,680)k. Wages, salaries, and supplements (98,320) 1. Agriculture (43,280) m. Fishery and forestry (32,750) n. Mining (22,810) 0. Quarrying (21,235) p. Manufacturing (31,090) q. Construction (15,888) r. Transportation, communication, storage & utilities (62,280) s. Commerce (20,579) t. Services (23,134) U. Trade (38,189)Gross Domestic Product Computation using Different Approaches: GDP under Final Expenditure Approach Formula: GDP = C+G+I+ (X -M) Given: (C)Personal consumption expenditure P 94, 969 Durable goods 7,579 Nondurable goods 67,560 Personal services 19,830 (1) Private domestic investment 25, 069 Residential fixed 5,210 Business fixed 15,260 Change in inventories 4,599 (G)Government consumption & investment purchases 19,810 19, 810 Net exports (3, 660) (X) Export 9,820 (M) Import 13,480 Total GDPE P 136, 188 (in millions)National Income Formula: NY = W+R+i+P Given: (P) Corporate profits before taxes P 11, 330 Corporate profit taxes 3,690 Dividends 4,250 Undistributed profits 3,390 (P)Income of unincorporated enterprises 7,680 7, 680 R)Rental income of persons 14,695 14, 695 (i) Net interest 5,680 5, 680 (W)Wages, salaries, and supplements 98,320 98, 320 Total National Income P 137, 705 (in millions)GDP under Factors Income Approach Formula: GDP = NY + IBT + D Given: (NY)National Income P 137, 705 D) Depreciation (overall) 9,950 9, 950 (IBT)Indirect business taxes, adjustments 28, 150 And statistical discrepancy 28, 150 Total GDPY P 175, 805 (in millions)GDP under Industrial Origin Approach Formula: GDP = GVA + IBT Given: (Gross Value Added of Industries) P 311, 235 Agriculture 43,280 Fishery and forestry 32,750 Mining 22,810 Quarrying 21,235 Manufacturing 31,090 Construction 15,888 Transportation, communication, storage And utilities 62,280 Commerce 20,579 Services 23,134 Trade 38, 189 (IBT)Indirect business taxes, adjustments 28, 150 And statistical discrepancy 28,150 Total GDP10 P 339, 385 (in millions)
