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.
Basis | Revenue Expenditure | Capital Expenditure |
Creation of Assets | It does not create assets for the government | It results in the creation of assets. |
Reduction of Liability | These expenditures do not result in the reduction of liability | These expenditures cause a reduction of the liability of the government. |
Example |
(a) Aids given to states and others. |
(a) Purchase of shares |