From the following data calculate
a) NNP at FC b)NDP at FC Rs Crores
i) Depreciation 2,400
ii)Indirect taxes 3,600
iii)Subsidies 300
iv)GNP at MP 17,450
v)Net factor income from abroad 1,600

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Solution

Dear student
(a) NNP_FC = GNP_MP - depreciation - net indirect taxes[(ii - iii )]
= rs 17,450 - 2400 - (3600 - 300)
= rs 17,450 - 2400 - 3300
= rs 17,450 - 5700
= rs 11,750 crores
(b) NDP at FC = NNP_FC- Net factor income from abroad
= rs 11,750 - 1600
= rs 10,150 crores
Regards

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