CFA Practice Question

There are 539 practice questions for this study session.

CFA Practice Question

An Indian software engineer works for a computer manufacturer in San Jose. He makes $60,000 a year and sends $10,000 to his family in India each year. The amount that should be counted towards U.S. GDP is ______.
A. 60,000
B. 50,000
C. 10,000
Explanation: $60,000 should count towards U.S. GDP, since GDP counts goods and services produced within the geographic borders of the country. The fact that he sends $10,000 to India is another matter (balance of trade).

User Contributed Comments 1

User Comment
danlan Should be more than $60000 (income earned by the software company is not included), but here, we do not count that.
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