Which of the following options represents the total income earned by individuals from all the sources before deduction of personal income taxes?
This questions was previously asked in
SSC CGL Tier II Paper 1 (26.10.2023)
Disposable income
Incorrect AnswerPersonal income
Correct AnswerGross income
Incorrect AnswerNational income
Incorrect AnswerExplanation:
- Disposable Income: This is the amount of money individuals have after taxes have been deducted. It's available for spending or saving.
- Personal Income: This includes total income from all sources before personal income taxes are deducted. It encompasses wages, investments, and other sources.
- Gross Income: Typically refers to the total earnings before deductions like taxes, retirement contributions, or other withholdings, but usually within a business or investment context.
- National Income: This is the total income earned by a country’s residents and businesses, including wages, investments, and profits within a specific time period, typically a year.
Correct Answer:
- Personal Income is the correct option that represents the total income earned from all sources before deduction of personal income taxes.
By: Parvesh Mehta ProfileResourcesReport error