Consider the following statement related to Aggregate Income

(A) Aggregate revenue received by the firms is paid out to the factors of production it is considered as aggregate income.

(B) Aggregate Income can be calculated by calculating the aggregate value of goods and services produced by the firms.

(C) Income is being spent on the goods and services produced by the firms. It takes the form of aggregate expenditure received by firms.

(D) Aggregate Income can not only be calculated through aggregate expenditure. There are other methods that exist.

Which of the following combination of statements best explains the concept of Aggregate Income?

Option 3: (A), (B), (C) and (D) -> All four statements correctly explain the concept of Aggregate Income from different perspectives. Statement (A) describes the income method where firms' revenue is distributed to factors of production as wages, rent, interest, and profits. Statement (B) represents the product/output method where national income equals the value of all goods and services produced. Statement (C) illustrates the expenditure method and circular flow of income where income spent becomes firms' revenue. Statement (D) correctly states that multiple methods exist to calculate aggregate income, not just expenditure method. Together, these statements comprehensively cover the circular flow of income and the three standard methods (Income, Product, and Expenditure) of measuring national income in an economy. -> correct