Explore topic-wise InterviewSolutions in Current Affairs.

Marginal propensity to Consume and Income.

Direct Relation.

R. K. Kahn propounded the Employment Multiplier.

In 1931 was employment multiplier propounded.

J. M. Keynes revealed the concept of Investment multiplier in 1930 to get rid of economic depression and financial instability.

Correct answer is (c) Kahn

An angle of 45° degrees is found in the Aggregate Supply curve.

It is the monetary value of total salable products in the market.

1. Aggregate products
2. Monetary form of National income.

Aggregate supply is also known as total supply of products. A part of Aggregate Supply is sold for consumption, while another part is unsold stock.

They both are the same.

(c) Marginal Efficiency of Capital

Employment Multiplier was propounded by R.F. Kahn in 1931.

Consumption demand is the function of income. It depends upon Marginal Propensity to Consume and income.

When investment decreases, income decreases many more times. This is the backward process multiplier.

In an economy, Aggregate Supply is the summation of total Consumption Expenditure (C) and Total Savings (S).

Where Aggregate demand is equal to the Aggregate Supply, that level of Income and employment is called the equilibrium level of Income and Employment.

If AD > AS, then the situation is of inflationary gap.

Inverse Relationship.

AD = Aggregate demand, C = Consumption Expenditure, I = investment expenditure, G = government expenditure, X – M = net export.

An economy that has two areas, in one area, lies the domestic sector, in which the demand is for the final consumption, while in Production sector, the demand is for the household Investment. It is also assumed that Investment curve is autonomous.

Aggregate Demand is equivalent to the Aggregate Expenditure. 

It has four components in an open economy :

1. Consumption Expenditure
2. Investment Expenditure
3. Government Expenditure
4. Net Export.

1. Consumption Expenditure
2. Investment Expenditure
3. Government Expenditure
4. Net Exports (X-M).

There are four important components of aggregate demand :

1. Consumption Expenditure
2. Investment Expenditure
3. Government
4. Net export

AD = C + I + G + (X – M).

Correct answer is (b) Four

Production is related to the increase in the utility or increase in the value of goods and services.

We have, 

Let radius of cone r = 5x 

Let height h = 12x 

∴ Volume = 2512 m³ 

= \(\frac{1}{3}\)×3.14×25x²×12x = 2512

= x³ = 8 

= x = 2  

∴r = 10 and h = 24 cm 

Hence,

slant height l = \(\sqrt{r^2+h^2}\) 

= l =\(\sqrt{100+576}\) 

= 26 m

Let the ratio of radius and height of a right circular cone be y. 

Radius of cone(r) = 5 y 

Height of cone (h) =12 y 

Now we know, 

l² = r² + h² 

= (5y)² + (12y)² 

= 25 y² + 144 y² 

or l = 13y 

Now, volume of the cone is given 2512 cm³ 

⇒\(\frac{1}{3}\)πr²h = 2512 

⇒ \(\frac{1}{3}\) x 3.14 x (5y)² x 12y = 2512 

⇒ y³ = (2512 x 3)/(3.14 x 25 x 12) 

= 8 

or y = 2

Therefore, 

Radius of cone = 5y = 5 x 2 = 10 cm 

Slant height (l) = 13y = 13 x 2 = 26 cm

Correct option: (b) Shareholders

(a) Yes, Board is right in recommending a dividend of Rs. 5/- per share out of free reserves, as dividends can be paid out of free reserves.

(b) No Board cannot declare the divided if it is not approved by AGM as dividends should be approved by shareholders by passing an ordinary resolution in AGM.

(c) No Board cannot give dividends in the form of gifts. It must be paid in cash, not in kind.

Correct option is (b) State

Under the SGST Act, provisions pertaining to state goods and services tax are covered.

In the UTGST Act, provisions pertaining to union territories goods and services tax are included.

GST will be administered by categorizing | under two parts – Central GST (CGST) and State ! GST (SGST).

In the IGST Act, provisions pertaining to supply of goods or services or both, made other than own state/union territories tax are covered.

Under the GST Compensation Cess Act, the state government, whose tax collection will be reduced, will be compensated with the same.

(d) (b) and (c)

1. Excess capacity is the difference between the optimum output that can be produced and the actual output produced by the firm. 

2. In the long run, a monopolistic firm produces deliberately output which is less than the optimum output that is the output corresponding to the minimum average cost.

3. This leads to excess capacity which is actually a waste in monopolistic competition.

1. Personal 

2. Geographical 

3. On the basis of use.

This sentence was said by Reshma to s her mother.

Correct option is B) Nehru

D) A power to reject

D) Saddam Hussain

C) Non aligned nations are also called third world countries.

A) Sukarno – Indonesia

It works through six different organs.

It was started with twin objectives of ensuring lasting peace and human development.

At the time of its establishment UN had a membership of 54 countries 

D) Permanent members of Security Council are America, China, Britain, India and France.