Exhibit 5-5 Gross domestic product data

As shown in Exhibit 5-5, national income (NI) is:

Question

Exhibit 5-5 Gross domestic product data

As shown in Exhibit 5-5, national income (NI) is:

Quizplus · Accepted Answer

National income (NI) represents the income earned by individuals and businesses within the country, and it is calculated by subtracting indirect business taxes, depreciation, and net foreign factor income from gross domestic product (GDP). Looking at Exhibit 5-5, GDP is $11,000 billion, and subtracting the given values for indirect business taxes ($800 billion), depreciation ($300 billion), and net foreign factor income (-$200 billion), the resulting national income (NI) is $10,500 billion. Therefore, the best choice is C.

Exhibit 5-5 Gross Domestic Product Data