Calculate (a) National Income, and (b) Net National Disposable Income:

(RS in crores)

(i) Compensation of employees 2,000

(ii) Rent 400

(iii) Profit 900

(iv) Dividend 100

(v) Interest 500

(vi) Mixed income of self-employed 7,000

(vii) Net factor income to abroad 50

(viii) Net exports 60

(ix) Net indirect taxes 300

(x) Depreciation 150

(xi) Net current transfers to abroad 30

Distinguish A. between current account and capital account, and B. between autonomous transactions and accommodating transactions of balance of payments account.

Explain the precautions that should be taken while estimating national income by expenditure method.

Will the following be included in the domestic product of India? Give reasons for your answer.

A. Profits earned by foreign companies in India

B. Salaries of Indians working in the Russian Embassy in India

C. Profits earned by a branch of State Bank of India in Japan

Given a consumption curve, outline the steps required to be taken in deriving a saving curve from it. Use diagram.