Consider the following activities and answer the accompanying questions.· Travis manufactures custom craftsman furniture. Last year, he produced and sold $450,000 in final furniture products.· Travis manufactures custom craftsman furniture. Last year, he produced $50,000 in final products that went unsold. He added the products to his inventory and plans to sell them next year.· Travis manufactures custom craftsman furniture. Last year, he purchased $175,000 in repurposed barn wood that he used to produce a custom line of cabinets.· Travis manufactures custom craftsman furniture. Last year, he used a brokerage service to purchase a used delivery truck for $25,000. He paid the brokerage $750 for the service.· Last year, Travis sold some stock holdings from his retirement account for $400,000. With the proceeds, he purchased a new construction home for $325,000 and used the remainder purchases stock shares in a new technology company.1. What types of activities are generally excluded from GDP calculations?a. Home production b. Purchase of used goodsc. Asset transfersd. Illegal Activitiese. All of the above2. How much did the above activities contribute to GDP?a. $825,750b. $775,750c. $500,750d. $825,000Suppose Travis sells his woodshop, and begins looking for a job in industrial design.3. As Travis transitions away from manufacturing, he begins to circulate resumes, attend career fairs, and meets with several prospective employers. The household survey would classify Cody asa. Employedb. Unemployed c. Not in the labor forced. Underemployed4. Travis accepts a job with a firm in Chicago doing industrial design in furniture applications. The household survey would classify Travis asa. Employedb. Unemployedc. Not in the labor forced. Marginally unemployed5. Travis loses his job when the economy moves into recession. He reaches out to contacts in the industry, secures a couple of interviews, but is unable to land a job. Travis would now be classified asa. Employedb. Structurally unemployedc. Cyclically unemployedd. Frictionally unemployede. Marginally attached to the labor force6. After searching for a job for some time without any luck Travis quits actively looking. He would still like to work and would take a job if offered, but isn’t actively looking.a. Employedb. Unemployedc. Not in the labor forced. Marginally attached to the labor force
Consider the following activities and answer the accompanying questions.·Travis
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