National Income and Related Aggregates-Methods of Calculating National Income (CBSE Class-12 Economics): Questions 1 - 4 of 13

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Question number: 1

» National Income and Related Aggregates » Methods of Calculating National Income » Income Method

» National Income and Related Aggregates » Methods of Calculating National Income » Expenditure Method

Essay Question▾

Describe in Detail

From the following data calculate National Income by Income and Expenditure

methods:

 NO. (Rs crores) 1 Government final consumption expenditure 100 2 Subsidies 10 3 Rent 200 4 Wages and salaries 600 5 Indirect taxes 60 6 Private final consumption expenditure 800 7 Gross domestic capital formation 120 8 Social security contributions by employers’ 55 9 Royalty 25 10 Net factor income paid to abroad 30 11 Interest 20 12 Consumption of fixed capital 10 13 Profit 130 14 Net exports 70 15 Change in stock 50

Explanation

Income Method

National Income = (4) + (8) + (3 + 9) + (11) + (13) – (10)

= 600 + 55 + (200 + 25) + 20 + 130 - 30

= Rs. 1, 000 crores

Expenditure Method

National Income = 6 + 1 + 7 + 14 –… (28 more words) …

Question number: 2

» National Income and Related Aggregates » Methods of Calculating National Income » Value Added or Product Method

» National Income and Related Aggregates » Methods of Calculating National Income » Income Method

Write in Short

Explain any two precautions that should be taken while estimating national income by (a) value added method, and (b) income method.

Question number: 3

» National Income and Related Aggregates » Methods of Calculating National Income » Value Added or Product Method

One Liner Question▾

Write in Brief

From the following data relating to a firm, calculate its net value added at factor cost:

 No. particulars Amount ( Rs. in Crores) 1 Subsidy 40 2 Sales 800 3 Depreciation 30 4 Exports 100 5 Closing stock 20 6 Opening stock 50 7 Intermediate purchases 500

Question number: 4

» National Income and Related Aggregates » Methods of Calculating National Income » Value Added or Product Method