Carl B. Cotton owns a 10-acre farm filled with cotton plants. Each year he hires a few workers to pick the cotton and he sells it to Candy's Cloth for $5,000. Candy uses the cotton to makes bolts of cloth that she sells for $9,000 to Ted's T-Shirts. Ted makes t-shirts with the cloth and sells the shirts to consumers for a total of $12,000. As a result of these transactions GDP increases by $ . The value added by Carl is $ . The value added by Candy is $ . The value added by Ted is $
Carl B. Cotton owns a 10-acre farm filled with cotton plants. Each year he hires a few workers to pick the cotton and he sells it to Candy's Cloth for $5,000. Candy uses the cotton to makes bolts of cloth that she sells for $9,000 to Ted's T-Shirts. Ted makes t-shirts with the cloth and sells the shirts to consumers for a total of $12,000. As a result of these transactions GDP increases by $ . The value added by Carl is $ . The value added by Candy is $ . The value added by Ted is $
Chapter15: Gross Domestic Product
Section: Chapter Questions
Problem 12SQP
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Carl B. Cotton owns a 10-acre farm filled with cotton plants. Each year he hires a few workers to pick the cotton and he sells it to Candy's Cloth for $5,000. Candy uses the cotton to makes bolts of cloth that she sells for $9,000 to Ted's T-Shirts. Ted makes t-shirts with the cloth and sells the shirts to consumers for a total of $12,000.
As a result of these transactions
The value added by Carl is $ .
The value added by Candy is $ .
The value added by Ted is $
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