Ryan is a Canadian resident who lives with his family in Victoria, Canada, but works for a small donut cafe in Seattle, U.S., where he commutes every day. On a typical day, Ryan produces 400 donuts that sell for $ 1 apiece. Of the revenue from selling the donuts, Ryan is paid $ 260 per day. The remaining $ 140 revenue is distributed as follows: $ 35 pays for inputs such as water, flour, sugar, butter, and energy, $ 70 is rent for using the facilities and interest for an initial loan to start the business, and $ 35 goes to salary to the manager and profit to the owner of the café.

a)      How much is the increase in U.S. GDP generated by the production of the 400 donuts?

b)      How much is the increase in U.S. GNP generated by the production of the 400 donuts?

c)   How much is the increase in Canada’s GDP generated by the production of the 400 donuts?

d)   How much is the increase in Canada’s GNP generated by the production of the 400 donuts?