Question

The best method of computing national income is _____.

• A. product Method
• B. income Method
• C. expenditure Method
• D. combination of income and production method

Answer 1

The correct option is D combination of income and production method

National is the total money earned in the country. The income method of calculating national income comprises of the income earned by the country. This includes the government earnings as well. The production method calculates national income by calculating the total value of goods and services created in the economy.