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Suppose that this year an economy produces 110 cakes that sell for $3 each and 75 beers that sell for $8 each. The next year
Suppose that this year an economy produces 110 cakes that sell for $3 each and 75 beers that sell for $8 each. The next year the economy produces 110 cakes that sell for $3.25 each and 80 beers that sell for $9 each. Using next year as the base year, the growth rate of real GDP from this to next year is:
Group of answer choices
A. 7.8%
B. 10.0%
C. 8.8%
D. 4.35%
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