Look at the cost of producing a cell phone on the graphic provided. Which of the following will be calculated in this country's GDP? A)Intermediate costs and the final cost. B) All labor costs will be added. C) The outer case and keyboard. D) The cost of the final product.

ENGR.ECONOMIC ANALYSIS
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Look at the cost of producing a cell phone on the graphic provided. Which of the following will be calculated in this country's GDP?

A)Intermediate costs and the final cost.

B) All labor costs will be added.

C) The outer case and keyboard.
D) The cost of the final product.
Intermediate Steps in Cell Phone Production
Steps
Value added
Prices of
during step
completed steps
1. Assemble outer case and
$5
$5
keyboard
2. Prepare internal
hardware
10
15
3. Install operatina svstem
15
30
Transcribed Image Text:Intermediate Steps in Cell Phone Production Steps Value added Prices of during step completed steps 1. Assemble outer case and $5 $5 keyboard 2. Prepare internal hardware 10 15 3. Install operatina svstem 15 30
10
2. Prepare internal
hardware
15
3. Install operating system
15
30
4. Connect to network
49
79
5. Transact retail sale
120
199
Total
$199
$328
Transcribed Image Text:10 2. Prepare internal hardware 15 3. Install operating system 15 30 4. Connect to network 49 79 5. Transact retail sale 120 199 Total $199 $328
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