National accounts: Define Gross Domestic Capital Formation (GDCF). Full question: Which description best defines GDCF in the system of national accounts? Choose the correct option.

Difficulty: Medium

• Gross additions to fixed assets within the domestic territory plus change in inventories during the year
• Sum of all current consumption expenditures by households and government
• Net exports of goods and services over the accounting year
• Only purchases of financial assets by residents and government