. 5. Describe the importance of circular flow of income.
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Answer:
The circular flow helps in calculating national income on the basis of the flow of funds accounts. The flow of funds accounts are concerned with all transactions in the economy that are accomplished by money transfers.
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Science is what we do to find out about the natural world. Natural sciences include, chemistry, biology, geology, astronomy, and physics. Science uses mathematics and logic, which are sometimes called "formal sciences". Natural science makes observations and experiments.
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