Question

From the following data, find National income.

Compensation of employees

1866.3

Business interest payments

264.9

Rental income of persons

34.1

Corporate profits

164.8

Proprietors' income

20.3

Corporate dividends

66.4

Personal taxes

402.1

Interest paid by consumers

64.4

Interest paid by government.

105.1

Government and business transfers

374.5

Personal consumption expenditures

1991.9

A 2350.4 Correct Answer Incorrect Answer
B 2516.8 Correct Answer Incorrect Answer
C 3097.1 Correct Answer Incorrect Answer
D 2444.9 Correct Answer Incorrect Answer
E 2309.6 Correct Answer Incorrect Answer

Solution

National income = compensation of employees + business interest payments + rental income of persons + corporate profits + proprietor’s income. National income = 1866.3 + 264.9 + 34.1 + 164.8 + 20.3 = 2350.4

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