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Question

If a country produces 1 lakh rupees worth of goods and 3 lakh rupees worth of services in 2018, and the assets used to produce those goods and services are depreciated by 50,000 rupees, then NNP is equal to ____ rupees


  1. 4,00,000

  2. 3,50,000

  3. 4,50,000

  4. 1,50,000


Solution

The correct option is B

3,50,000


NNP = Gross National Product - Depreciation

NNP = 1,00,000 + 3,00,000 - 50,000

= 3,50,000 rupees

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