question_answer

Find out (a) Gross National Product at Market Price and (b) Net Current Transfers from abroad:
(Rs. crore)
(i)	Net Indirect Tax	35
(ii)	Private final consumption expenditure	500
(iii)	Net national disposable income	750
(iv)	Closing stock	10
(v)	Government final consumption expenditure	150
(vi)	Net domestic fixed capital formation	100
(vii)	Net factor income to abroad	(-) 15
(viii)	Net imports	20
(ix)	Opening stock	10
(x)	Consumption of fixed capital	50

Answer:

(a) \[GN{{P}_{Mp}}\]

= Private final consumption expenditure + Government final consumption expenditure + (net domestic capital formation + Closing stock - Opening stock + Consumption of fixed capital - Net imports - Net factor income to abroad

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

\[=500+150+(100+10-10+50)-20-(-5)=650+150-20+15\]\

\[=815-20=Rs.\text{ }795\text{ }crore\]

(b) Net Current Transfer from abroad

= Net national disposable income - (\[GN{{P}_{Mp}}\]- Consumption of fixed capital)

\[=750-795+50\]

\[=800-795=Rs.\text{ }5\text{ }crore\]