Question

Calculate “Gross National Disposable Income” from the following data:

S.No.	Particulars	(Rs  in crores)
(i)	Net domestic product at factor cost	3,000
(ii)	Indirect taxes	300
(iii)	Net current transfers from rest of the world	250
(iv)	Current transfers from the government	100
(v)	Net factor income to abroad	150
(vi)	Consumption of fixed capital	200
(vii)	Subsidies	100

Answer 1

Gross National Disposable Income = Net domestic product at factor cost + Indirect Taxes - Subsidies + Net current transfers from the rest of the world - Net factor income to abroad + Consumption of fixed capital
or, Gross Disposable Income = 3000 + 300 - 100 + 250 - 150 + 200 = Rs 3500 crore