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National Income - 1

Total questions: 15

Worksheet time: 6mins

Name
Class
Date
1.

National income does not include_____

a)

Wages and salaries

b)

Rent and Royalty

c)

Student scholarship

d)

Corporate Tax

2.

Q.Which of the following is not the part of profit?

a)

Dividend

b)

Undistributed profit

c)

Corporate tax

d)

Royalty

3.

Which of the following is an intermediate good

a)

Bread

b)

Leather

c)

Cloth

d)

Shoes

4.

How many approaches in calculating national income?

a)

4

b)

3

c)

2

d)

1

5.

Which one of the following is not included in NI?

a)

Old age pension

b)

retirement pension

c)

wages

d)

bonus

6.

The national income is

a)

a. NNP at factor cost

b)

b. NNP at market price

c)

c. GNP at market price

d)

d. GNP at factor cost

7.

When a nation's exports exceed its imports and is calculated as exports - imports

a)

trade surplus

b)

trade deficit

c)

inventory

d)

gross domestic product

8.

What is depreciation?

a)

Capital loss

b)

Fixed capital loss

c)

Consumption of fixed capital

d)

None

9.

2.When will GDP at market price be equal to GDP at factor cost ?

a)

Indirect taxes=subsidy

b)

indirect taxes >subsidy

c)

indirect taxes < subsidy

d)

none of these

10.

5.The value of the output of all goods and services produced within a country in a year.

a)

total output

b)

Gross Domestic Product

c)

national income

d)

net domestic product

11.

7.When a nation's imports exceed its exports and is calculated as imports -exports

a)

inventory

b)

gross domestic product

c)

trade surplus

d)

trade deficit

12.

8.Which of the following is a final expenditure ?

a)

Car purchased by a dealer

b)

Vegetables purchased by a restaurant

c)

Milk purchased by a tea-maker

d)

Car purchased by a household

13.

In a circular flow of income in a closed economy with government intervention, leakage consists of _________________.

a)

Investment and savings

b)

Savings only

c)

Savings and taxes

d)

Savings, taxes and imports

14.

Net national product does not include_______________.

a)

Interest on consumer loans

b)

Undistributed corporate profit

c)

Taxes on corporate profits

d)

Depreciation

15.

Total quantity of goods and services produced in the economy.

a)

Aggregate Demand

b)

Aggregate Supply

c)

Leakages

d)

Injections