Consider the followings as facts related to estimation of National Income of an economy,

A. Domestic income = National Income for a closed Economy

B. Operating Surplus = Rent + Bonus + Royalty + profit

C. Net indirect taxes = Subsidies - Corporate tax

D. Replacement Cost = GDP MP- NDPFC

E. GNPMP= National income

Choose the correct answer from the options given below :

A only

The correct answer is option (1) : A only

A. Domestic income = National Income for a closed Economy : This is correct. 

B. Operating Surplus = Rent + Bonus + Royalty + profit : This is incorrect. Operating surplus = Rent+ interest + profits.

C. Net indirect taxes = Subsidies - Corporate tax : This is incorrect. Net indirect taxes are calculated as indirect taxes (like GST, VAT) minus subsidies.

D. Replacement Cost = GDP MP- NDPFC : This is incorrect. This formula is to calculate depreciation and not replacement cost.

E. GNPMP= National income : This is incorrect.  NNP at factor cost is the national income which is the sum of income earned by all factors in the production in the form of wages, profits, rent and interest, etc., belonging to a country during a year.