Following will not be included in estimation of National Income of India:
a. As such transactions are mere paper claims and do not lead to any value addition.
b. Compensation paid by the Government of India is mere transfer payment and does not lead to any flow of goods and services in an economy.
Or
Nominal GDP = Real GDP× \(\frac{price \, index}{100}\)
= 500× \(\frac{125}{100}\)
=₹ 625 crores