Which of the following transactions are excluded from the calculation of national income?

• Sale of mutual funds, shares of reliance industries
• Old age pension payments, donations
• Pocket money given to children by their parent

1,2 and 3

Purely financial transactions are excluded from the calculation of National income. There are 3 general types:

1. Buying and selling of securities (sale of reliance industry's share)
2. Government transfer payments (old age pension, donation, awards, subsidies)
3. Private transfer payments (pocket money)