Refer to CBSE Class 12 Economics National Income Accounting Environmental Issues MCQ provided below available for download in Pdf. The MCQ Questions for Class 12 Economics with answers are aligned as per the latest syllabus and exam pattern suggested by CBSE, NCERT and KVS. Multiple Choice Questions for Chapter 2 National Income Accounting Environmental Issues are an important part of exams for Class 12 Economics and if practiced properly can help you to improve your understanding and get higher marks. Refer to more Chapter-wise MCQs for CBSE Class 12 Economics and also download more latest study material for all subjects
MCQ for Class 12 Economics Chapter 2 National Income Accounting Environmental Issues
Class 12 Economics students should refer to the following multiple-choice questions with answers for Chapter 2 National Income Accounting Environmental Issues in Class 12.
Chapter 2 National Income Accounting Environmental Issues MCQ Questions Class 12 Economics with Answers
Question : Net investment is equal to
a) Gross investment + depreciation
b) Gross investment – depreciation
c) Gross investment × depreciation
d) Gross investment ÷ depreciation
Answer : B
Question : Capital goods are those goods
a) Which are used in the production process for several years
b) Which are used in the production process for few years
c) Which Involve depreciation losses
d) Both (a) and (c)
Answer : D
Question : Net capital formation causes
a) Increase in production capacity
b) Increase in depreciation
c) Increase in profits
d) Increase in cost
Answer : A
Question : In the production of sugar, sugarcane is
a) A final good
b) A capital good
c) An Intermediate good
d) None of these
Answer : C
Question : Those goods which satisfy human wants directly are called
a) Intermediate goods
b) Consumer goods
c) Capital goods
d) None of these
Answer : B
Question : Increase in the stock of capital is known as
a) Capital loss
b) Capital gain
c) Capital formation
d) None of these
Answer : C
Question : Which of the following leads to unexpected obsolescence?
a) Change in demand
b) Natural calamities
c) Change in technology
d) None of these
Answer : B
Question : Income of the family is the example of which variable?
a) Stock
b) Flow
c) Both stock and flow
d) Neither stock nor flow
Answer : B
Question : 9 Which of the following leads to depreciation?
a) Normal wear and tear
b) Damages due to floods
c) Damages due to market – crash
d) None of these
Answer : A
Question : Which of the following is a semi-durable goods?
a) Radio
b) Clothes
c) Milk
d) Petrol
Answer : B
Question : Which one refers to Net Indirect Taxes?
a) Indirect taxes + subsidies
b) Indirect taxes - subsidies
c) Direct taxes - subsidies
d) None of the above
Answer : B
Question : Basis of the difference between the concepts of market Price and Factor Cost is:
a) Direct taxes
b) Indirect taxes
c) Subsidies
d) Net indirect taxes
Answer : D
Question : Which of the following is not correct?
a) NNP at Market Price : GNP at Market Price + Depreciation
b) NDP at Market Price : NNP at Market Price - Net Factor Income from Abroad
c) NDP at Factor Cost : NDP at Market Price - Indirect taxes + Subsidies
d) GDP at Factor Cost : NDP at Factor Cost + Depreciation
Answer : A
Question : Which one leads to Factor Cost?
a) Marker Price - indirect Taxes
b) Marker Price - Net Indirect Taxes
c) Marker Price + Indirect Taxes
d) Marker Price + Net Indirect Taxes
Answer : B
Question : Domestic product is equal to:
a) National product + net factor income from abroad
b) National product - net factor income from abroad
c) National product ÷ net factor income from abroad
d) National product × net factor income from abroad
Answer : B
Question : Which of the following is a flow variable
a) Consumption
b) Wealth
c) Quantity of money
d) None of these
Answer : A
Question : Market price of the final goods and services (Including depreciation) produced within the domestic territory of a country during an accounting year is called:
a) GDP at Market Price
b) GNP at Factor Cost
c) NNP at Factor cost
d) GDP at Factor Cost
Answer : A
Question : Which one includes depreciation?
a) GNP at Market Price
b) NNP at Market Price
c) NNP at Factor Cost
d) None of these
Answer : A
Question : A quantity measured per unit of time period is known as
a) Stock variable
b) Flow variable
c) Inventory
d) None of these
Answer : B
Question : Which one is correct?
a) National Income : NDP at Factor Cost - Net Factor Income from Abroad
b) GNP at Factor Cost : GNP at Market Price + Net Indirect Tax
c) Personal Income : Private Income - Corporate Tax - Corporate Saving
d) Disposable Income : Saving of Household Sector - Consumption of Household Sector
Answer : C
Question : Which of the following is not transfer payment?
a) Interest on national debt
b) Retirement pensions
c) Old- age pensions
d) Donations
Answer : B
Question : GNP at market price is measured as:
a) GDP at market price – Depreciation
b) GDP at market price + Net factor Income from abroad
c) GNP at market price + subsidies
d) NDP at factor cost + Net factor income from abroad
Answer : B
Question : Which of the following items is not included while estimating GNP of a country at market prices?
a) Salaries and wages before taxes
b) Indirect taxes
c) Remittances by NRIs
d) Subsidy
Answer : C
Question : Which of these is a limitation in the measurement of social welfare using GDP at constant prices as an index?
a) Increase in population size
b) Change in working conditions
c) Composition of production
d) All of these
Answer : D
Question : Value added method measured the contribution of which of the following within the domestic territory of a country?
a) One producing enterprise only
b) All producing enterprises
c) A few producing enterprises
d) None of these
Answer : B
Question : Which of the following items is not included while estimating national Income by Income method?
a) Rent
b) Mixed income
c) Fixed investment
d) Undistributed profits
Answer : C
Question : In India, suppliers of money are:
a) Government of the country
b) Banking system of the country
c) Both (a) and (b)
d) None of these
Answer : C
Question : As a result of double counting, national incomes is:
a) Over- estimated
b) Under- estimated
c) Correctly - estimated
d) Not estimated for the entire year of accounting
Answer : A
Question : Real national income means:
a) National income at current prices
b) National income at factor prices
c) National income at constant prices
d) National income at average prices of the past 10 years
Answer : C
Question : Which of the following is not included in final consumption expenditure?
a) Household expenditure on food
b) Government final consumption expenditure
c) Household expenditure on education
d) Expenditure on raw material
Answer : D
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MCQs for Economics CBSE Class 12 Chapter 2 National Income Accounting Environmental Issues
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Chapter 2 National Income Accounting Environmental Issues MCQs Economics CBSE Class 12
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Chapter 2 National Income Accounting Environmental Issues CBSE Class 12 MCQs Economics
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CBSE MCQs Economics Class 12 Chapter 2 National Income Accounting Environmental Issues
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