Calculate national income (NNPfc) from the …

Tysm?

Question will be solved by expenditure method.....and expenditure method gives GDP at Market price ***Expenditure method =Private final cons...exp..+Govt....final cons...exp+gross domestic fixed capital formation +change in stock +net export.... As all components are given... GDP at mp(market price)=500+300+100+20+10(as imports are negative which shows excess of export over import so it will be treated as export of 10...) GDP at mp=930 To convert GDP at Mp to NNP at Fc.... 1.)to convert G into N-----We will subtract depreciation i.e(gross dom..fixed capital--net domestic cap formation)i.e=(100-50)=50... 2.)to convert D into N....we will add NFIA i.e=15 3.)to convert MP into FC we will subtract net indirect taxes i.e=10 Now GDP at MP- dep....+NFIA-NItax =NNP at FC NNP at FC=930-50+15-10 =885 ans....