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Question
Total Cost and Total Revenue.
Solution
| Total Cost | Total Revenue | ||
| 1 | It refers to total cost incurred for production of a commodity. | 1 | It refers to the total amount of money received from sale. |
| 2 |
Total cost = Fixed cost + Variable cost.
|
2 | Total Revenue = Price x Quantity. |
| 3 | It increases with increase in output | 3 | It increases with increase in sale. |
| 4 | It shows total cost of producing a commodity. | 4 | It refers to the sale proceed received at a particular period of time. |
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PASSAGE
Corona has slowed down the economy Lockdown imposed to contain the spread of Corona virus had resulted in closure of manufacturing and business activities. During this financial year, the economy is expected to move towards a contractionary phase rather than expansionary phase. This has been stated in the budget. This is the first paperless budget in the history of India. At the same time, it is the third post-independence budget to be presented at a time when the economy is shrinking. The budget shows a fiscal deficit of more than 5%.
The Union Finance Minister has presented a budget that seeks to accelerate the economy by balancing the impact of Corona on the economy on one hand and growing expectations of all sectors on the other. A significant increase in the allocation for Healthcare by 137% is a feature of this budget. In this budget, the expected revenue for the year 212-2022 is Rs. 34,35, 000crore and the expected expenditure is Rs. 35,83, 000 crore.
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