Tag: methods of national income

Questions Related to methods of national income

Net Value Added is equal to _____________________.

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

  1. Payments accruing to Factors of Production

  2. Compensation to Employees

  3. Wages plus Rent plus Imputed Rent

  4. Value of Output minus Depreciation

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Correct Option: A

The three methods of calculating national income measure __________.

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

  1. the same thing from different angle

  2. different thing from different angle

  3. different thing at the same angle

  4. the same thing from the same angle

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Correct Option: A

In which sector, expenditure method is used in India for calculating national income?

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

  1. Agriculture sector

  2. Mining sector

  3. Construction sector

  4. Transportation sector
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Correct Option: C

Under expenditure Method, Consumption Expenditure + Net Domestic Investment + Replacement Expenditure equals ______________.

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

  1. Gross Domestic Expenditure

  2. Gross National Expenditure

  3. Net Domestic Expenditure

  4. Net National Expenditure

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Correct Option: A

'Distributed Profits' is also known as: 

economics measurement of national income methods of national income methods of measuring national income national income analysis

  1. Corporate Tax

  2. Dividend

  3. Retained Earnings

  4. None of these

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Correct Option: B

National income is the sum of factor incomes accruing to: 

economics measurement of national income methods of national income methods of measuring national income national income analysis

  1. country

  2. Economic territory

  3. Residents

  4. Both residents and non-residents

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Correct Option: C

Sale of second hand machines is ____________ in Value Added Method.

economics measurement of national income methods of national income methods of measuring national income national income analysis

  1. included

  2. excluded

  3. sometimes included and sometimes excluded

  4. none of above

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Correct Option: B

The most appropriate measure of a country's economic growth is ________.

economics measurement of national income methods of national income methods of measuring national income national income analysis

  1. GDP

  2. NDP

  3. Per capita income

  4. GNP

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Correct Option: C
Explanation:

The most appropriate measure of a country's economic growth is per capita income

Per capita income is the average income earned by a person in the specified year.

The growth in the Gross Value Added at basic prices for 2015-16 from manufacturing sector is estimated to be ________.

economics measurement of national income methods of national income methods of measuring national income national income analysis

  1. 9.5%

  2. 10%

  3. 11.55

  4. 12%

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Correct Option: A
Explanation:

Manufacturing sector is nothing but Secondary sector which deals with manufactured goods. It includes those sectors which produce finished or usable goods. It takes up raw material from primary sectors like agriculture and produce goods which are ready to use or export.

The growth in the Gross Value Added at basic prices for 2015-16 from manufacturing sector is estimated to be 9.5%

Which of the following is a true statement?

i. National income refers to the income of individuals of a country

ii.The income at their disposal after paying direct taxes is called disposable income

 

economics measurement of national income methods of national income methods of measuring national income national income analysis

  1. a. i only

  2. b. ii only

  3. c. both

  4. d. none

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Correct Option: C
Explanation:

Both the given statements are true which says that

National income refers to the income of individuals of a country

The income at their disposal after paying direct taxes is called disposable income