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State the steps… (Class 12 Economics SQP 2024-25, Q11B)

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EconomicsCBSE Class 12 · Sample paper, session 2024-25 · 3 marks · Short answer

CBSE Class 12 Economics sample paper 2024-25: question 11(B)

From the official CBSE sample question paper for 2024-25, section A, question 11(B), for 3 marks. Try it first; the hints and our step-by-step solution are below.

Q11(B) · 3 marks · Short answerNational Income Accounting

State the steps pertaining to the estimation of National Income under the income method.

Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2024-25.

Hints

Open one hint at a time and try again before the next.

Hint 1

Start by grouping the producers.

Hint 2

Which incomes does each sector pay out?

Hint 3

Domestic becomes national with NFIA.

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Step 1: Identify the producing units and classify them into the primary, secondary and tertiary sectors.

    1 mark

  2. Step 2: Estimate the factor payments made by each sector: compensation of employees, operating surplus (rent, interest, profit) and mixed income. Their sum is each sector's contribution to domestic income (NDPfc), and adding across sectors gives domestic income.

    1 mark

  3. Step 3: Estimate net factor income from abroad (NFIA) and add it to domestic income to get national income (NNPfc).

    1 mark

Answer: Classify producers into sectors; add factor payments (CE + OS + MI) to get NDPfc; add NFIA to get national income.

Where the marks are

  • Each step (1 + 1 + 1)

Revise the chapter

Practise this chapterBoard-style questions from National Income Accounting, one at a time, marked against the answer key and marking points.Back to the full paperSample paper 2024-25: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.