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What is the domestic income if national income is Rs10,000 crore and net factor income from abroad is Rs2,000 crore?
Rs5,000 crore
Rs10,000 crore
Rs12,000 crore
Rs8,000 crore
- Definition of Domestic Income: It represents the total income earned by individuals and businesses within a country before accounting for net factor income from abroad.
- National Income: It is the sum of all wages, profits, rents, and other forms of earnings of a nation.
- Net Factor Income from Abroad: It is the difference between a country's national income and domestic income.
- Given values: National income is Rs 10,000 crore and net factor income from abroad is Rs 2,000 crore.
- Domestic Income Calculation:
Domestic Income = National Income - Net Factor Income from Abroad
Domestic Income = 10,000 crore - 2,000 crore = Rs 8,000 crore
- Available Options:
1. Rs 5,000 crore
2. Rs 10,000 crore
3. Rs 12,000 crore
4. Rs 8,000 crore
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