Tag: methods of measuring national income

Questions Related to methods of measuring national income

Income method is more reliable than expenditure method.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. True

  2. False

Show answer
Correct Option: A

Total Cost is the total expenditure incurred by a firm.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. True

  2. False

Show answer
Correct Option: A

In which case, net income from abroad need to be added separately under the income method?

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. If national income is calculated from incomes received by people

  2. If national income is calculated from data regarding incomes paid out by producers

  3. In both above methods, added separately

  4. In neither of the above methods, added separately

Show answer
Correct Option: B

Transfer incomes are ___________ national income.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. included in

  2. excluded from

  3. sometimes included, sometimes excluded

  4. none of above

Show answer
Correct Option: B

Income method considers _________.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. only primary factors of production

  2. only secondary factors of production

  3. both (a) and (b)

  4. none of above

Show answer
Correct Option: A

Expenditure on foreign financial assets is included in national income under the expenditure method on ________.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. gross basis

  2. net basis

  3. real time basis

  4. none of the above

Show answer
Correct Option: B

Aggregate of factor incomes of all the factors of production of all the producing units form the subject matter of _______.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. Value Added Method

  2. Income method

  3. Expenditure Method

  4. None of the above

Show answer
Correct Option: B

Goods produced in preceding periods are ___________ national income under expenditure method.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. excluded from

  2. included from

  3. no specific rule

  4. none of above

Show answer
Correct Option: A

Expenditure on raw materials and intermediate goods and services is ___________ national income.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. excluded from

  2. included from

  3. no specific rule

  4. none of above

Show answer
Correct Option: A

Net National Expenditure can also be calculated as __________.

business economics and quantitative methods measurement of national income methods of national income methods of measuring national income national income analysis

  1. Gross National Expenditure $-$ Replacement expenditure

  2. Gross National Expenditure $+$ Replacement expenditure

  3. Gross National Expenditure $-$ depreciation

  4. Gross National Expenditure $+$ depreciation

Show answer
Correct Option: C