Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: National Income Accounting

Question:

To find Gross value added, arrange the following in sequence :

(A) Import
(B) Export
(C) Domestic sales
(D) Domestic purchase of Raw material
(E) Change in inventories

Choose the correct answer from the options given below :

Options:

(A), (B), (D), (C), (E)

(B), (D), (A), (E), (C)

(C), (B), (E), (D), (A)

(C), (D), (A), (B), (E)

Correct Answer:

(C), (B), (E), (D), (A)

Explanation:

Gross Value Added at Market Price (GVA at MP) = Value of Output (Domestic Sales + Exports + Change in Stock) - Intermediate Consumption ( Purchase of raw materials from domestic market + Import of raw material)