Question

Find Out (i) GNPmp and (ii) Net Current Transfer to abroad:

(i) PFCE	1000
(ii) Depreciation	100
iii) Net National Disposable Income	1500
(iv) Closing stock	20
(v) GFCE	300
(vi) Net Indirect Tax	50
(vii) Opening Stock	20
(viii) NDFCF	110
(ix) Net Exports	15
(x) Net Factor Income to abroad	(-) 10

Answer 1

GNPmp = PFCE + GFCE + NDFCF + Ch. in stock + Net export + dep. + NFIA 

 = 1000 + 300 + 110 + (20-20) + 15+ 100 + 10 

GNPmp = 1535 

NNDI = NNPmp + Net current transfer from abroad 

 1500 = 1535 – 100 + X 

 1500 = 1435 + X 

 1500 – 1435 = 65 

Net current transfer from abroad = 65