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    Question

    Based on the 2026 National Accounts Statistics, an

    economy has provided the following data for the current fiscal year (in ₹ Crores): ·        GDP at Market Prices: 5,00,000 ·        Consumption of Fixed Capital (Depreciation): 50,000 ·        Indirect Taxes: 70,000 ·        Subsidies: 20,000 ·        Factor Income Earned from Abroad: 40,000 ·        Factor Income Paid to Abroad: 60,000 Calculate the National Income (NNP at FC) for this economy.
    A ₹4,00,000 Crores Correct Answer Incorrect Answer
    B ₹4,30,000 Crores Correct Answer Incorrect Answer
    C ₹3,80,000 Crores Correct Answer Incorrect Answer
    D ₹4,50,000 Crores Correct Answer Incorrect Answer
    E ₹4,70,000 Crores Correct Answer Incorrect Answer

    Solution

    NNP (at factor cost) = GDP (at market price) – depreciation + Net factor income from abroad – Net Indirect taxes   Net factor income from abroad = factor income earned – factor income paid = 40,000 – 60,000 = -20,000   Net indirect taxes = indirect taxes – subsidies = 70,000 – 20,000 = 50,000   NNP (at FC) = 5,00,000 – 50,000 + (-20,000) – 50,000 = 3,80,000 crore

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