CBSE Class 12 Sample Paper for 2022 Boards [Term 2] - Economics

Economics Class 12
Solutions to CBSE Sample Paper - Economics Class 12

### a) From the following data calculate the value of Domestic Income:

 S. No. ITEMS Amount(in crores) i) Compensation of Employees 2000 ii) Rent and Interest 800 iii) Indirect Taxes 120 iv) Corporate Tax 460 v) Consumption of Fixed Capital 100 vi) Subsidies 20 vii) Dividend 940 viii) Undistributed Profits 300 ix) Net Factor Income from abroad 150 x) Mixed Income of Self Employed 200

(3 Marks)

a) Domestic Income = NDPfc

NDPfc = Compensation of Employees + Rent and Interest + Corporate Tax + Dividend + Undistributed Profits + Mixed Income of Self Employed

Domestic Income (NDP@fc) =(i)+(ii)+(iv)+(vii)+(viii)+(x)

NDPfc=₹2000+₹800+₹460+₹940+₹300+₹200

NDPfc=₹4,700 crore

### b) Distinguish between ‘Value of Output’ and ‘Value Added’.

(2 Marks)

Value of output is the estimated money value of all the goods and services, inclusive of change in stock and production for self-consumption. Whereas,

Value added is the excess of value of output over the value of intermediate consumption.

### Transcript

a

#### Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 14 years and a teacher from the past 18 years. He teaches Science, Economics, Accounting and English at Teachoo