Answer: C. 5.
GDP (gross domestic product) is the amount measuring the total economic output of the goods and services of one country. GDP is nominal if there is no inflation adjustment. Assuming that our GDP is nominal:
The formula for GDP is: GDP = Money Supply x Velocity of Money
In our example, GDP=5,000
Money Supply= 1000
We rearrange the formula to get velocity of money (V)
V=GDP/Money Supply
V=5,000/1000
V=5
