Question

(I) From the following data, calculate the value of operating surplus: S. No. Items Amount in (₹ crore) --- --- --- (i) Royalty 10 (ii) Rent 70 (iii)…

Accepted Answer

(a) (I) Operating Surplus = (i) + (ii) + (iii) + (v) = 10 + 70 + 25 + 50 = ₹ 155 crore (II) Fixed investment refers to addition to the stock of fixed assets in the hands of producers during an accounting year. Whereas, inventory investment is addition to the stock of inventory (unsold finished goods, semi-finished goods, raw material) with the producers during an accounting year. OR (b) (I) Compensation of Employees (COE) = (ii) + (iii) + (iv) = 49,500 + 13,500 + 8,900 = ₹ 71,900 crore (II) Real Gross Domestic Product refers to the money value of all the final goods and services produced in the domestic territory of a country during an accounting year measured at base year prices. Nominal Gross Domestic Product refers to the money value of all the final goods and services produced in the domestic territory of a country during an accounting year measured at current year prices.

S. No.	Items	Amount in (₹ crore)
(i)	Royalty	$\displaystyle 10$
(ii)	Rent	$\displaystyle 70$
(iii)	Interest	$\displaystyle 25$
(iv)	Net domestic product at factor cost	$\displaystyle 500$
(v)	Profit	$\displaystyle 50$
(vi)	Dividends	$\displaystyle 20$

S.No.	Items	Amount in (₹ crore)
(i)	Old age pension	$\displaystyle 1,250$
(ii)	Wages and salaries in cash	$\displaystyle 49,500$
(iii)	Rent free accommodation to employees	$\displaystyle 13,500$
(iv)	Employer's contribution to provident fund	$\displaystyle 8,900$
(v)	Payment of life insurance premium by the employees	$\displaystyle 3,000$
(vi)	Contribution to provident fund by employees	$\displaystyle 35,600$

Marking-scheme solution

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