KENDRIYA VIDYALAYA DONIMALAI HOLIDAY HOME WORK - 2016 CLASS-XII - ECONOMICS

KENDRIYA VIDYALAYA DONIMALAI HOLIDAY HOME WORK - 2016 CLASS-XII - ECONOMICS 

 1. Calculate Gross National Product at market price and Net National Disposable Income from the following data Items (Rs. In Crores)

A Net current transfers to abroad (-) 5 ,  

B Profit 70,  

C Consumption of fixed capital 30 

D Rent 40,  

E Indirect tax 20 

F Interest 100 

G Royalty 10 

 H Compensation of employees 600 

I Subsidy 5 

J Net factor income from abroad (-)25

 Solution GNP at MP = C.O.E. +RENT+INTEREST +ROYALITY +PROFIT+ ROYALITY + NFIA +(INDIRECT TAX – SUBSIDIES) + CFC = Rs. 810 Crores 

NNDI = GNP mp - CFC + NET CURRENT TRANSFERS FROM ABROAD = Rs. 775 crores

Question 2 - From the following data calculate National Income by Income and Expenditure methods: 

1 Government final consumption expenditure 100 

2 Subsidies 10 

3 Rent 200 

4 Wages and salaries 600 

5 Indirect taxes 60 

6 Private final consumption expenditure 800 

7 Gross domestic capital formation 120 

 8 Social security contributions by employers’ 55 

 9 Royalty 25 

10 Net factor income paid to abroad 30 

 11 Interest 20 

12 Consumption of fixed capital 10 

13 Profit 130 

 14 Net exports 70 

 15 Change in stock 50 

Solution Income Method National Income = iv + viii + (iii + ix) + xi +xiii – x = 600 + 55 + (200 +25) + 20 +130 -30 = Rs 1,000 crores

 Expenditure Method National Income = vi + i + vii + xiv – v + ii – xii – x = 800 + 100 + 120 + 70 – 60 + 10 – 10 – 30 = Rs 1,000 crores

Question 3. Calculate (a) Net National product at market price (b) Gross national disposable income from the following 

(i) Undistributed profit 20 

 (ii) compensation of employees 800 

 (iii) Rent 300 

 (iv) Dividend 100 

 (v) Royalty 40 

 (vi) Net current transfer to abroad (-) 30 

(vii) Corporation tax 50 

 (Viii) interest 400 

(ix) Net factor income from abroad (-) 10

 (X) Depreciation 70 

(xi) Net indirect tax 60

Solution _ NNPmp = (ii) +(i)+ (iii) +(iv)+ (v)+(vii)+(xi)+(ix) =800+20+300+100+40+50+60+(-10) = 1360

 Gross national disposable income 

(GNDI)= = NNPmp -Net current transfer to abroad+ Depreciation. =1360- (-30)+70 = 1460 

Question 4- Calculate (a) Private income and (b) personal disposable income from the following data.

1 Savings of private corporate sector 250 

2 Current transfers from rest of the world 40

 3 Indirect taxes 110

 4 Personal tax 75 

 5 Net factor income from abroad ( - ) 25 

6 Current transfers from government administrative department 100 

 7 Income from domestic product accruing to private sector 2250

 8 Corporation tax 40 

 9 Saving of Non departmental enterprise 50 

 10 Income from property and entrepreneurship accruing to government administrative departments 250

 Solution- 7+ 2+ 6+ 5= Private income 2250 + 100 + 40 + (-) 25 = 2365

 PDI = Private Income – Savings of private corporate sector – Corporation tax – Personal taxes 2365 – 250 -40 -75 = 2000 Crores PDI (1+1+1=3)

 RATHEESH K K,

PGT Economics

 (SUBJECT TEACHER)