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Ans – a) Explanation:- NDP at FC = GDP at MP – Depreciation – Indirect tax + subsidies NDP at FC = 100 – 10 + 5 = ₹ 95

Ans – d) Explanation GDP at MP = NDP at FC + Depreciation + Indirect tax – Subsidies Gross indicates depreciation included MP (Market Price) indicates net indirect tax (Indirect tax – subsidies) included.

Ans – a) Explanation:- As Chinese embassy is administered by the government of China and all administrative policies are applied as per their government. Thus Chinese embassy comes under the Economic territory of China.

Ans – c) Explanation:- Economic territory is also known as Domestic territory

Ans – d) In economic territory, people, goods and capital moves freely.

Ans – d) Explanation:- A resident of a country is the one who lives, earns, spends and save in that country he lives irrespective of the citizenship

Ans – c) Capital is stock as it is measured at a particular point in time. For example:- at 31st March 2023, on 1st April 2022 Investment is a flow as it is measured during a period of time. For…

Ans – d) What is the final consumption expenditure by Production units? All expenditure incurred by production units on capital goods is termed as final consumption expenditure. for example:- purchase of machinery, furniture, computer, etc.

Ans – b) Explanation:- Intermediate consumption expenditures are the expenditure of the firm that are resold by the firm to others. Thus the cost of hiring a chartered accountant by the firm is added to the final product of the…

Ans – c) If the value of an asset falls due to unforeseen obsolescence, natural calamities like floods, earthquakes, etc., or due to thefts, etc. it is called a capital loss.