QUESTION 55

1. Scenario: Real GDP
2. Suppose that in year 1 an economy produces 100 golf balls that sell for $4.65 each and 75 pizzas that sell for $8 each. The next year the economy produces 200 golf balls that sell for $5.75 each and 80 pizzas that sell for $9 each.
3. Reference: Ref 11-2
5. (Scenario: Real GDP) Using year 1 as the base year, real GDP in year 2 is:
6. A.$1430.5
7. B.$1570.
8. C.$1,000.
9. D.$1,077.50.
10. E.$900.