Question

Calculate (a) National Income, and (b) Net National Disposable Income. (Rs in crores)
(i) Compensation of employees 2,000
(ii) Rent 400
(iii) Profit 900
(iv) Dividend 100
(v) Interest 500
(vi) Mixed income of self-employed 7,000
(vii)Net factor income to abrorad 50
(viii)Net exports 60
(ix) Net indirect taxes 300
(x) Depreciation 150
(xi) Net current transfers to abroad 30

Answer 1

National Income or $NN{P}_{FC}=$ Compensation of Employees + Rent + Profit + Interest + Mixed income of self-employed - Net Factor Income to Abroad
$NN{P}_{FC}=2000+400+900+500+7000-50$
$NN{P}_{FC}=10,750$
Net National Disposable Income $=NN{P}_{FC}+$ Net Indirect Taxes - Net current transfers to abroad Net National Disposable Income $=10,750+300-30=11,020$