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Calculate Gross National Disposable Income from the following data:

(i) Net Domestic Product at factor cost 3000
(ii) Indirect Tax300
(iii) Net current transfer from abroad250
(iv) Current transfer from govt.100 
(v) Net factor income to abroad150
(vi) Consumption of fixed capital200
(vii) Subsidies 100

1 Answer

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Best answer

GNP mp = NDPfc + Depreciation + NIT + NFIA

= 3000 + 200 + (300 -100) + ( - 150)

= 3000 + 400 -150 

= 3250 

GNDI = GNPmp + Net Current transfer from abroad

= 3250 +250 

GNDI = 3500

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