Question

Practicals on Expenditure Method
7. Calculate GNP at MP.
in crores
Particulars
(i) Personal consumption expenditure
(ii) Government consumption expenditure
(iii) Gross domestic fixed capital formation
(iv) Import of goods and services
(v) Net factor income from abroad
(vi) Subsidy
(vii) Fall in stock
27,500
3,000
2,500
500
- 250
250
300
(viii) Export of goods and services
(ix) Depreciation
(x) Net indirect taxes
450
1,000
1,000
​

Answer 1

• 300 450-1000 1,000 GNP at MP = 232 400 crores

Explanation:

GNP at MP = 27500+3000+2100-500-250-300+450

Expenditure method = 32400 cr.