Consumption expenditure
In an economy 75% of increase in income is spent on the consumption. Investment raised by Rs. 1000 Crore. Compute: (A) Total increase in income(B) Total increase in consumption expenditure
In an economy 75% of increase in income is spent on the consumption. Investment raised by Rs. 1000 Crore. Compute:
(A) Total increase in income(B) Total increase in consumption expenditure
Expert
MPC = 75% = 75/100 =3/4MPS = 1-3/4 = 1/4 K=4(A) DY = DI x K= 1000 x 4= 4000 Crore(B) DY = DC + DIDC = DY - DI= 4000-1000= Rs. 3000 Crore
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A perpetuity is a: (w) financial asset which provides its owner eternal life. (x) perpetual motion machine which lasts forever. (y) bond which pays its owner an annual income forever. (z) profitable share in an established corporation. Discover Q & A Leading Solution Library Avail More Than 1448330 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1928908 Asked 3,689 Active Tutors 1448330 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
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