question_answer

Find out (a) National income:
(Rs. crores)
(i)	Factor income from abroadt	15
(ii)	Private Final Consumption Expenditure	600
(iii)	Consumption of fixed capital	50
(iv)	Government Final Consumption	200
(v)	Net current transfers to abroad	(-) 5
(vi)	Net domestic fixed capital formation	110
(vii)	Net factor income to abroad	10
(viii)	Net imports	(-) 20
(ix)	Net indirect tax	70
(x)	Change in stocks	(-) 10

Answer:

(a) National Income

= Private final consumption expenditure + Government consumption expenditure + [Net domestic fixed capital formation + Change in stock] - Net imports - Net indirect tax - Net factor income to abroad

= (ii) + (iv) + [(vi) + (x)] - (viii) - (ix) - (vii)

\[=600+200+[110+(-10)]-(-20)-70-10\]

\[=600+200+100+20-70-10\]

\[=920-80=Rs.\text{ }840\text{ }crore\]