Given the figures provided- calculate the GDP for the country- using t (1).docx

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Given the figures provided, calculate the GDP for the country, using the Expenditure Approach ONLY. Show your work. National income = 1,000, personal consumption = 3,000, net private domestic investment = 1,500, government purchases = 2,000, exports = 500, transfer payments by government = 400, imports = 800, depreciation = 500 and corporate income = 1,000. Hint: Not all of the values will apply and use the Expenditure Approach. Solution GDP = Consumption expenditures + Investment + Gov spending + exports - imports D epreciation, corp./net income & transfer payments need to be ignored for the expenditure method. personal consumption = 3,000, net private domestic investment = 1,500, government purchases = 2,000, exports = 500, imports = 800, thus, GDP = 3000 + 1500 + 2000 + 500 - 800 = $ 6,200 .

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