Question : The consumption expenditure and investment demand are Rs. 500 crores and Rs. 400 crore respectively when the income level is Rs. 1000 crores Calculate savings.

Option 1: 100

Option 2: 400

Option 3: 500

Option 4: 1000

Question : The consumption expenditure and investment demand are Rs. 500 crores and Rs. 300 crore respectively when the income level is Rs. 1000 crores Calculate AD.

Option 1: 500

Option 2: 400

Option 3: 900

Option 4: 100

Question : The equilibrium level of income in an economy is Rs. 3000 crore. The autonomous consumption expenditure is equal to Rs.250 crore and investment expenditure is Rs. 1000 crore. Calculate consumption expenditure.

Option 1: 3000

Option 2: 1500

Option 3: 2000

Option 4: 1000

Question : The equilibrium level of income in an economy is Rs. 3000 crore. The autonomous consumption expenditure is equal to Rs.250 crore and investment expenditure is Rs.1000 crore. Calculate marginal propensity to save.

Option 1: 0.42

Option 2: 0.58

Option 3: 0.32

Option 4: 0.65

Question : In an economy, the investment expenditure is Rs. 80 crore and consumption function is C= 80+0.75Y. Calculate equilibrium level when planned investment expenditure is increased by Rs. 10 crore.

Option 1: 680

Option 2: 650

Option 3: 700

Option 4: 600