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Gr 12 Macro Economics : NI Accounting

Total questions: 20

Worksheet time: 14mins

Name
Class
Date
1.

Study the features and Identify the goods.

i . Value is still to be added to these goods by way of further processing or resale.

ii.Value is still to be added to these goods by way of further processing or resale.

a)

Final consumer goods.

b)

Final producer goods

c)

Intermediate good

d)

durable consumer good

2.

what is investment?

a)

This decrease in value of fixed assets

b)

Quantity measured over a specified period of time.

c)

quantity measured over at a particular point of time.

d)

Addition to its production capacity in terms of its additional acquisition of produced means of production during an accounting year

3.

what is Stock?

a)

Total Supply of capital goods.

b)

Addition to the stock of unsold goods or of raw material

c)

Quantity of a variable measured at a particular point of time

d)

Quantity of a variable measured over a specified period of time.

4.

---------- is a flow.

a)

Water in a reservoir

b)

Quantity of money supply

c)

Income per year

d)

Deposits with a bank

5.

What is Leakage?

a)

Variable which increases stock of fixed assets of the producers during the period of an accounting year.

b)

Capacity in terms of additional acquisition of produced means of production during an accounting year.

c)

Variables which cause a contraction in the process of production

d)

Variables which cause an expansion in the process of production.

6.

Gross National Product (GNPmp) is-----------

a)

Value of all final goods and services produced within the domestic territory of a country during a period of one year.

b)

Value of the final products and services manufactured by a country’s residents, regardless of the production location.

c)

Sum total of factor income generated within the domestic territory of a country during a period of one year

d)

None of the above.

7.

GNPFC = GNPMP --

a)

NFIA

b)

Net Indirect tax

c)

Depreciation

d)

Indirect Tax

8.

GDP mp -- _______ = NDPmp........i

NDPmp -- ________ =NDPfc ............ii

NDPfc + _________ = NNPfc ...........iii

a)

i NFIA ii Net Indirect tax iii depreciation

b)

i Depreciation ii NFIA iii Net Indirect tax

c)

i depreciation, ii Net Indirect tax iii NFIA

d)

i Net Indirect tax ii depreciation iii NFIA

9.

What is Nominal GDP?

a)

GDP which is computed at constant prices/ base year price

b)

GDP which is calculated by using the current year price.

c)

It is a real indicator of economic growth.

d)

option 1 and 3

10.

GDP Price Deflator =

a)

Real GDPNominal GDPX 100\frac{\text{Real GDP}}{\text{Nominal GDP}}X\ 100

b)

change in real GDPNominal GDP\frac{\text{change in real GDP}}{\text{Nominal GDP}} X 100X\ 100

c)

change in nominal GDP Real GDPX100\frac{\text{change in nominal GDP}\ }{\text{Real GDP}}X100

d)


Nominal GDPReal GDPX 100\frac{\text{Nominal GDP}}{\text{Real GDP}}X\ 100

11.

Calculate Real GDP of the year 2017.( base year is 2015)

a)

RS 835,000

b)

Rs 530,000

c)

Rs 1,290,000

d)

Rs 380,000

12.

Calculate GDP deflator if Real GDP =200 and Nominal GDP = 250?

a)

80

b)

125

c)

100

d)

105

13.

Will the following factor income be included in domestic factor income of India? give reason.

Profits earned by a branch of foreign bank in India

a)

No. •As it is a foreign bank profit will not be included in the domestic factor income of India.

b)

No. Profit of foreign bank will not be included in National Income

c)

Yes. •As the foreign bank is situated within the domestic territory of India so it will be included in National income of India.

d)

Yes. As the foreign bank is situated within the domestic territory of India so it will be included in the domestic factor income of India.

14.

Will the following factor income be included in domestic factor income of India? Give reason

Remittances from non-resident Indians to their families in India

a)

It is a transfer payment , so it is not included inn national income.

b)

It is included in national income because it is a factor income.

c)

It will not be included in the domestic factor income of India as it is earned outside the domestic territory of India

d)

It will be included in the domestic factor income of India as it is the part of NFIA

15.

Will the following be included in the national income of a country? Give reason.

Salaries received by Indian residents working in Russian Embassy in India.

a)

It is not included because it is a foreign embassy.

b)

It is included in national income because it is factor income from abroad

c)

It is included in national income because it is located in India

d)

It is not included because it is domestic territory of Russia

16.

Will the following be included in the national income of a country? Give reason.

Payment of interest on a loan taken by an employee from the employer.

a)

It is not included because the loan is taken for consumption.

b)

It is not included because the loan is transfer payment.

c)

It is included because the loan is a part of SSI

d)

It is included because it is a factor income

17.

Will the following be included in the national income of a country? Give reason.

self- consumed output by a farmer .

a)

It is included because it is imputed expenditure.

b)

It is included because it is factor income

c)

It is not included because it own property.

d)

It is not included because it is not productive.

18.

Giving reason, how the following is treated while estimating national income.

commission paid on sale of second-hand goods .

a)

It is not included in NI because it is not productive.

b)

It is included because it is reward for rendering productive services.

c)

It is a windfall gain so it is excluded.

d)

It is included because it is a transfer payment.

19.

Calculate GVA mp

a)

320

b)

250

c)

510

d)

170

20.

Find out sales.

a)

Rs 5500 lakh

b)

Rs 5000 lakh

c)

Rs 5700 lakh

d)

None of the above