Question
The production of a kilogram of smoked salmon requires a fisher to catch salmon worth $1.40, which is prepared by a food processor and sold
- The production of a kilogram of smoked salmon requires a fisher to catch salmon worth $1.40, which is prepared by a food processor and sold to a retailer for $2.20, who then sells it to a consumer for $2.75.
a) What is the value added by the fisher? the food processor? the retailer?
b) What is the total value added in all three stages of production?
c) If final and intermediate products were double counted in GDP, what would be the total value of the salmon incorporated in GDP?
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Introduction to Managerial Accounting
Authors: Peter Brewer, Ray Garrison, Eric Noreen
7th edition
978-1259675539, 125967553X, 978-1259594168, 1259594165, 78025796, 978-0078025792
