Short Answer TypeDefine a Tax.
A Tax is a fee levied by a government on a product, income, or activity. If tax is levied directly on personal or corporate income, then it is a direct tax. If tax is levied on the price of a good or service, then it is called an indirect tax. The purpose of taxation is to finance government expenditure.
Calculate Gross Value Added at Factor Cost:
| (i) | Units of output sold (units) | 1000 |
| (ii) | Price per unit of output | 30 |
| (iii) | Depreciation(Rs.) | 1000 |
| (iv) | Intermediate cost (Rs.) | 12000 |
| (v) | Closing stock (Rs.) |
Outline the steps taken in deriving saving curve from the consumption curve. Use diagram.
| Autonomous consumption | Rs. 100 |
| Marginal Propensity to consume | Rs. 0.80 |
| Investment | Rs. 50 |
Distinguish between Revenue Expenditure and Capital Expenditure in a government budget. Give examples.
Switch
