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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:
Assertion (A): GDP indicates the size of an economy.
Reason (R): A higher GDP indicates higher economic activity.
  • a)
    Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).
  • b)
    Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
  • c)
    Assertion (A) is true but reason (R) is false.
  • d)
    Assertion (A) is false but reason (R) is true.
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
Directions: In the following questions, a statement of assertion (A) ...
Explanation:

Assertion (A) and Reason (R) Analysis:
- Assertion (A): GDP indicates the size of an economy.
- Reason (R): A higher GDP indicates higher economic activity.

Correct Explanation:
- Both assertion (A) and reason (R) are true because GDP does indicate the size of an economy and a higher GDP typically reflects higher economic activity.
- However, reason (R) is not the correct explanation of assertion (A) because while a higher GDP often signifies increased economic activity, it does not directly explain why GDP represents the size of an economy. GDP is a measure of the total value of all goods and services produced within a country's borders, making it an indicator of economic performance and size rather than solely economic activity.
Therefore, the correct choice is option 'B' - Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
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Directions: In the following questions, a statement of assertion (A) ...
Gross domestic product (GDP) is the monetary value of all finished goods and services made within a country during a specific period. GDP provides an economic snapshot of a country, used to estimate the size of an economy and growth rate. GDP can be calculated in three ways, using expenditures, production, or incomes.
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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): GDP indicates the size of an economy.Reason (R): A higher GDP indicates higher economic activity.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): GDP indicates the size of an economy.Reason (R): A higher GDP indicates higher economic activity.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): GDP indicates the size of an economy.Reason (R): A higher GDP indicates higher economic activity.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer?.
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