Calculate 'Net National product at Factor Cost, and'Gross National Di

1.	Calculate 'Net National product at Factor Cost, and'Gross National Disposable Income, from the following :(Rs. in Arab)(i) Social security contributions by employees90(ii) Wages and salaries800(iii) Net current transfers to abroad(-) 30(iv) Rent and royalty300(v) Net factor income to abroad50(vi) Social security contributions by employers100(vii) Profit500(viii) Interest400(ix) Consumption of fixed capital200(x) Net indirect tax250
Answer» (i) Net National Product at Factor Cost (NNP_FC) = Wages and salaries + social security contribution by employers + Rent and royalty + Profit + interest - Net factor income to abroad =800+100+300+500+400-50 =2,100-50=2,050 =Rs. 2,050 Arab (ii) Gross National Disposable Income (GNDI) = NNP_FC + Net indirect tax + Consumption of fixed capital - Net current transfer to abroad =2,050+250+200-(-30) =Rs. 2,500+30 =Rs. 2,530 Arab

Calculate 'Net National product at Factor Cost, and'Gross National Disposable Income, from the following :(Rs. in Arab)(i) Social security contributions by employees90(ii) Wages and salaries800(iii) Net current transfers to abroad(-) 30(iv) Rent and royalty300(v) Net factor income to abroad50(vi) Social security contributions by employers100(vii) Profit500(viii) Interest400(ix) Consumption of fixed capital200(x) Net indirect tax250

Answer»

(i) Net National Product at Factor Cost (NNP_FC)

= Wages and salaries + social security contribution by employers + Rent and royalty + Profit + interest - Net factor income to abroad

=800+100+300+500+400-50

=2,100-50=2,050

=Rs. 2,050 Arab

(ii) Gross National Disposable Income (GNDI)

= NNP_FC + Net indirect tax + Consumption of fixed capital - Net current transfer to abroad

=2,050+250+200-(-30)

=Rs. 2,500+30

=Rs. 2,530 Arab