CameraIcon

SearchIcon

MyQuestionIcon

1

You visited us 1 times! Enjoying our articles? Unlock Full Access!

Expenditure Method

is the expend...

Question

____________ is the expenditure incurred for those goods and services which satisfy the wants of private individuals and institutions directly.

A

Consumption expenditure

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

B

Investment expenditure

No worries! We‘ve got your back. Try BYJU‘S free classes today!

C

Induced expenditure

No worries! We‘ve got your back. Try BYJU‘S free classes today!

D

None of the above

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A Consumption expenditure
Consumption expenditure refers to the expenditure which is incurred on the basic act of consuming goods and services to satisfy the wants of the individuals. It is usually incurred directly by private individuals and institutions.

Suggest Corrections

thumbs-up

0

Similar questions

Q. The property of a goods or services that satisfies a want or need of a consumer is called_____.

Q. Read the following statements carefully and choose the correct answer from the following:
Statement 1: Private goods are those goods, anyone who does not pay for them can be excluded from enjoying its benefits.

Statement 2: In the case of private goods, a person's consumption does not stand in a rival relationship to the consumption of others.

[0.80 marks]

Q. All goods and services for which we have to pay a price for their consumption are called _______.

Q. Classify the following expenditures as intermediate consumption expenditure and final consumption expenditure.
(i) Expenditure on research and development by Tata.
(ii) Insurance premium paid by a firm to an insurance company.
(iii) Insurance premium paid by households to an insurance company.
(iv) Expenditure on repairs and maintenance of plant and machinery.
(v) Expenditure incurred by a firm on purchase of equipments.
(vi) Advertising expenditure incurred by Airtel on promotion of Its products.
(vii) Business expenses of the employees on tour and entertainment.

Those goods which satisfy human wants directly are called :

View More

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

Expenditure Method

ECONOMICS

Watch in App

explore_more_icon

Explore more

Expenditure Method

Standard XII Economics

Join BYJU'S Learning Program

CrossIcon