Question : The consumption expenditure and investment demand are Rs. 500 crores and Rs. 400 crore respectively when the income level is Rs. 1000 crores Calculate savings.
Option 1: 100
Option 2: 400
Option 3: 500
Option 4: 1000
Correct Answer: 500
Solution : Savings= Income - Consumption
Savings= 1000-500
Savings= Rs. 500 crore
Hence, Option C is correct.
Question : The consumption expenditure and investment demand are Rs. 500 crores and Rs. 400 crore respectively when the income level is Rs. 1000 crores. Calculate AS.
Option 1: 400
Option 2: 1000
Option 4: 1500
Question : The consumption expenditure and investment demand are Rs. 500 crores and Rs. 300 crore respectively when the income level is Rs. 1000 crores Calculate AD.
Option 1: 500
Option 3: 900
Option 4: 100
Question : The equilibrium level of income in an economy is Rs. 3000 crore. The autonomous consumption expenditure is equal to Rs.250 crore and investment expenditure is Rs. 1000 crore. Calculate consumption expenditure.
Option 1: 3000
Option 2: 1500
Option 3: 2000
Question : The equilibrium level of income in an economy is Rs. 3000 crore. The autonomous consumption expenditure is equal to Rs.250 crore and investment expenditure is Rs.1000 crore. Calculate marginal propensity to save.
Option 1: 0.42
Option 2: 0.58
Option 3: 0.32
Option 4: 0.65
Question : Given that national income is Rs.100 crore and consumption expenditure is Rs.72 crore, When income rises to Rs. 200 crore and consumption expenditure to Rs. 108 crore, what will be the average propensity to save at initial level?.
Option 1: 0.28
Option 2: 0.72
Option 3: 1
Option 4: 0.3
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