Question

Q2 . Sunita, after completing her MBA , wanted to start a business of readymade garments. Since last few

years , she was doing a part time job and had collected some amount. But she needs more funds to start the

business. She approached one of the financial institutions to get a loan for the required amount of interest.

Finally, her loan was approved and was able to start the business.

On the basis of the above paragraph answer the following questions:

(A) Name the two types of funds on the basis of source of generation mentioned above.

(B) Write one demerit for each type mentioned.

(C) Write three differences between the sources mentioned above.​

Answer 1

Answer:

In the diagram, income is measured horizontally and consumption is measured vertically. ... “Thus the consumption function measures not only the amount spent on consumption but also the amount saved. This is because the propensity to save is merely the propensity not to consume.