Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: National Income Accounting

Question:

Find out NDPMP from the given data:

GNPMP 25,000
Net factor income from abroad -500
Net indirect taxes 2500
Consumption of fixed capital 1200
Options:

24,300

18,500

23,300

22,500

Correct Answer:

24,300

Explanation:

NDPMP = GNPMP - depreciation / consumption of fixed capital - net factor income from abroad

NDPMP = 25,000 - 1,200 - (-500)

NDPMP = 25,000 - 1,200 + 500

NDPMP = 25,000 - 700

NDPMP = 24,300