Question : Which of the following statement are true as per the mechnaism given in the picture.

1. Cotton and thread are final goods whereas cloth is an intermediate good.
2. As long as, goods are under production boundry, they are intermediate goods.
3. Goods outside production boundry are consumer goods.
4. Final goods and consumer goods are different from eachother. 

Option 1: 1,2&3

Option 2: 3&4

Option 3: 1&4

Option 4: 2&3

Question : The value added of a firm is calculated as___________.

Option 1: value of production of the firm - value of intermediate goods used by the firm.

Option 2: value of production of the firm + value of capital goods used by the firm.

Option 3: value of production of the firm / value of intermediate goods used by the firm.

Option 4: value of production of the firm + value of intermediate goods used by the firm.

Question : Which of the following are true?

1. Purchase of machines by a producer is an intermediate good.
2. Unexpected obsolescence is a component of depreciation.

Option 1: Both are true.
 

Option 2: Both are false.
 

Option 3: Statement 1 is true and statement 2 is false.
 

Option 4: Statement 1 is false and statement 2 is true.

Question : Statement 1: Gross Domestic Product (GDP) is a measure of the total output of final goods and services produced within a country's borders.

Statement 2: GDP excludes the value of intermediate goods and services used in production.

Option 1: Statement 1 is true, and Statement 2 is false.

Option 2: Statement 1 is false, and Statement 2 is true.

Option 3: Both Statement 1 and Statement 2 are true.

Option 4: Both Statement 1 and Statement 2 are false.

Question : Which of the following are true?

1. Domestic territory is also known as economy territory.
2. Printer purchased by lawyer is an intermediate good.

Option 1: Both are true.
 

Option 2: Both are false.
 

Option 3: Statement 1 is true and statement 2 is false.
 

Option 4: Statement 1 is false and statement 2 is true.