For each of the following situations, determine the value added for Canadian national income. a. A Canadian

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For each of the following situations, determine the value added for Canadian national income.

a. A Canadian farmer pays \($100\) for seeds to grow organic beets, which she sells to a produce distributor for \($1000.

The\) distributor sells the beets to a restaurant for \($1300,\) who then sells \($2500\) worth of beet salads.

b. A mining firm uses \($1\) million worth of purchased inputs to extract bauxite, which it sells to an aluminum company for \($2\) million. The aluminum company sells \($2.8\) million worth of aluminum to a door manufacturer who sells \($4\) million worth of finished doors to a big-box retailer who sells them to the public for \($6\) million.

c. A Canadian retailer imports \($400\) 000 worth of toys from China and sells them for \($1\) million.

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Ragan Macroeconomics

ISBN: 978-0134835822

16th Edition

Authors: Christopher Ragan

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