CBSE 2018 Class 12 Economics Exam

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Question : 14
Total: 16
Calculate (a) Net National Product at market price, and (b) Gross Domestic Product at factor cost :
 (i)  Rent and interest  6,000
 (ii)  Wages and salaries  1,800
 (iii)  Indirect taxes  100
 (iv)  Corporation tax  120
 (v)  Consumption of fixed capital  50
 (vi)  Subsidies  20
 (vii)  Dividends  80
 (viii)  Undistributed profits  400
 (ix)  Net factor income to abroad  -70
 (x)  Mixed income  1,000
 (xi)  Social security contribution by employers  200
Solution:  
NDPFC= Wages and salaries +SSC by employers + Rent and interest + Dividend + Corporation tax + Undistributed profit + Mixed income
NDPFC=1800+200+6000 +80+120+400+1000
NDPFC=9600 Crores
(a) NNPMP=NDPFC+NFIA+NIT
NNPMP=9600+(70)+100
NNPMP=9630 Crores
(b) GDPFC=NDPFC+ Consumption of fixed capital
GDPFC=9600+50
GDPFC=9650 Crores
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