Farmer bill grows wheat and sells it to the miller for $50,000. the miller turns it into flour and sells it to the bakery for $75,000. the bakery uses the flour in the bread that it sells to people for $90,000. the total contribution to gross domestic product (gdp) is:

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01-11-2017
Business

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Farmer bill grows wheat and sells it to the miller for $50,000. the miller turns it into flour and sells it to the bakery for $75,000. the bakery uses the flour in the bread that it sells to people for $90,000. the total contribution to gross domestic product (gdp) is:

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W0lf93 W0lf93 · Answer 1 · 2017-11-12T17:30:12+01:00

W0lf93 W0lf93

12-11-2017

The total value added to in production of wheat and the cost of turning the wheat to flour is what is used to calculate the total contribution to the GDP. The total value of $90,000 is also equal to market value of the product that is produced which would be the bread.

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