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Calculate (a) Net National Product at market price, and (b) Gross Domestic Product at factor |
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Answer» (a) Net National Product at market price = Rent and interest + Wages and salaries + Social security contribution by employers + Undistributed profit + Corporation tax + Dividends + Mixed income + Net indirect taxes – Net factor income to abroad = 6,000 + 1,800 + 200 + 400 + 120 + 80 + 1,000 + 100 – 70 = 9,700 – 70 = ₹ 9,630 Crores (b) Gross Domestic Product at factor cost = Net national product at market price + Consumption of fixed capital + Net factor income to abroad – Net indirect taxes = 9,630 + 50 + 70- 100 = 9,750 – 100 = ₹ 9,650 Crores Alternatively : Gross Domestic Product at factor cost = Rent and interest + Wages and salaries + Social security contribution by employers + Undistributed profit + Corporation tax + Dividends + Mixed income + Consumption of fixed capital = 6,000 + 1,800 + 200 + 400 + 120 + 80 + 1,000 + 50 = ₹ 9,650 Crores |
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