Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: National Income Accounting

Question:

What is required to be added to Net National Product at market prices to obtain National Disposable Income?

Options:

Current transfers to the rest of the world

Profits of the firm net of corporate taxes

Other current transfers from the rest of the world

profits of the firm net of retained earnings

Correct Answer:

Other current transfers from the rest of the world

Explanation:

The correct answer is Option (3) → Other current transfers from the rest of the world

National disposable income = Net National Product at market prices + Other Current Transfers from the rest of the World.