Question

C = 600
G = 100
I = 110
Net Export (X -M) = (-)20
Depreciation = 35
NFIA = (-)5
NIT = 120

Find out the national income. ​

Answer 1

$\bf\underline{Given :-}$

▪Consumption (C) = 600

▪Govt. Expenditure (G) = 100

▪Investment (I) = 110

▪Net Export (X - M) = (-)20

▪Depreciation = 35

▪Net Factor Income from Abroad (NFIA) = (-)5

▪Net Indirect Taxes (NIT) = 120

$\bf\underline{National \:Income \:(NNP \:at \:FC)}$

$\bf {C + G + I + (X - M)}$

600 + 100 + 110 + (-)20 = 790

$\boxed {GDP \:at \:MP = 790}$

$\bf {GDP \:at \:MP - Depreciation}$

790 - 35 = 755

$\boxed {NDP \:at \:MP = 755}$

$\bf{NDP \:at \:MP + NFIA}$

755 + (-)5 = 750

$\boxed {NNP \:at \:MP = 750}$

$\bf {NNP \:at \: MP - NIT}$

750 - 120 = 630

$\boxed {NNP \:at \:FC = 630}$ $\bf\green {(Answer)}$