KENDRIYA VIDYALAYA, Puri

Home Assignment of Economics for Class-XII Dated: 20th April 2024

Are the following statements True or False? Give reasons for your answer.

1. Intermediate goods are durable use producer goods.

2. Final goods must be finally consumed by the households.
3. Fruits and vegetables used by the households are consumption goods.
4. Capital goods involve loss of value on account of their depreciation.
5. The same good may be a consumption good or a capital good, depending on its end use.
6. Bread is always a consumer good .
7. Clothes used by households are durable consumer goods.
8. Gross investment includes the value of expected obsolescence.
9. Expected obsolescence is a “capital loss”.
10. Obsolescence is a part of depreciation.
11. Depreciation may occur even when fixed assets are not in use.

How will you treat the following while estimating domestic income of India? Give reasons of
your answer.

12. Rent received by a resident Indian from his property in Singapore.

13. Salaries to the Indians working in Japanese Embassy in India.
14. Profits earned by a branch of an American Bank in India.
15. Salaries paid to Koreans working in Indian embassy in Korea.
16. Scholarship given by Govt. of India to the students of KV Puri.
17. Profits earned by a foreign bank from its branches in India.
18. Old age pension given by the Govt. of India.

Distinguish between

19. Stock and flow

20. Consumption goods and capital goods.
21. Producer goods and Capital goods.
22. Real flow and Money flow.
23. Intermediate goods and final goods.
24. Domestic income and National income.

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