Calculate National Income and Personal Disposable Income :

(Rs. in crore)
(i) Corporation Tax 100
(ii) Private Final Consumption Expenditure 900
(iii) Personal Income Tax 120
(iv) Government Final Consumption Expenditure 200
(v) Undistributed Profits 50
(vi) Change in Stocks (-) 20
(vii) Net Domestic Fixed Capital Formation 120
(viii) Net Imports 10
(ix) Net Indirect Tax 150
(x) Net Factor Income from Abroad (-) 10
(xi) Private Income 1,000
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1 Answers

GDPMP= Private Final Consumption Expenditure +Government Final Consumption Expenditure + (Net Domestic Fixed Capital Formation + Depreciation Change in Stock) - Net ImPorts

=900 + 200 + [120 + 0 + (-20)] -10

= 1,190

NNPFC = GDPMP + Net Factor Income from Abroad - Net Indirect Tax - Depreciation

= 1,790 + (-10) - 150- 0 = 1,030

Hence, National Income =Rs.1,030 crore

Now; Personai Disposable Income

= Private Income - Undistributed Profits - Corporate Tax - Personal Direct Taxes

= 1,000 - 50 - 100 -120 = 730

Thus, Personal Disposable Incorne = Rs.730 crore

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