Question : When income level is zero, the consumption is ___________.
 

Option 1: Positive
 

Option 2: Negative
 

Option 3: Zero 
 

Option 4: None of the above.
 

Question : Using the consumption function, Calculate consumption at income level of 2500 crore, if autonomous consumption is 100 crore and 40% of additional income is consumed.

Option 1: 1000

Option 2: 1100

Option 3: 900

Option 4: 800

Question : __________________________ refers to the consumption expenditure to the corresponding level of income.
 

Option 1: Average propensity to consume
 

Option 2: Marginal propensity to consume
 

Option 3: Average propensity to save
 

Option 4: None of the above.
 

Question : Using the consumption function, Calculate saving at income level of 2500 crore, if autonomous consumption is 200 crore and 60% of additional income is consumed.

Option 1: 1000

Option 2: 600

Option 3: 800

Option 4: 200

Question : _____________________ is defined as ratio of change in consumption to change in total income

Option 1: Marginal propensity to consume

Option 2: Marginal propensity to save

Option 3: Average propensity to consume

Option 4: Average propensity to save.