Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: National Income Accounting

Question:

Based on following paragraph answer the question :

Wages and salaries in cash ₹5,000/-
Mixed Income of self employed ₹3,500/-
Rent ₹4,000/-
Corporate Profit Tax ₹2,000/-
Dividend ₹1,000/-
Employees contribution to provident fund ₹500/-
Wages and salaries in kind ₹2,000/-
Employer's contribution to social security schemes ₹3,000/-
Corporate savings ₹1,500/-
Net factor income from Abroad (-)₹200/-

The components of operating Surplus :

Options:

Rent + Dividend + Corporate savings

Mixed Income + Dividend + Rent

Rent + Dividend + Corporate savings + Corporate profit Tax

Rent + Dividend + Corporate profit tax

Correct Answer:

Rent + Dividend + Corporate savings + Corporate profit Tax

Explanation:

The correct answer is option (3) : Rent + Dividend + Corporate savings + Corporate profit Tax

Operating Surplus =  Rent + Interest + Profits

Note: There is No interest component given in this question.

Profit = Dividend + Corporate savings + Corporate profit Tax