In an economy C = Rs 8750 and the ratio ok APC and APS = 7:1..

Calculate the level of Income :)

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 oF*

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APC is C/Y

APS is S/Y

It is given that APC:APS=7:1

=> C:S=7:1

=>8750:S=7:1

=>S=8750/7=1250

Therefore, Y=C+S=8750+1250=10000

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