Given the following data, find the missing values of ‘Gross Domestic Capital Formation’ and ‘Wages and Salaries’.
Given the following data, find the missing values of ‘Gross Domestic Capital Formation’ and ‘Wages and Salaries’.
| Particulars | ₹ in Crores |
| (i) Mixed Income of Self-Employed | 3,500 |
| (ii) Net Indirect Taxes | 300 |
| (iii) Wages and Salaries | ? |
| (iv) Government Final Consumption Expenditure | 14,000 |
| (v) Net Exports | 3,000 |
| (vi) Consumption of Fixed Capital | 300 |
| (vii) Net Factor Income from Abroad | 700 |
| (viii) Operating Surplus | 12,000 |
| (ix) National Income | 30,000 |
| (x) Profits | 500 |
| (xi) Gross Domestic Capital Formation | ? |
| (xii) Private Final Consumption Expenditure | 11,000 |
Anurag Pathak Changed status to publish December 21, 2023
Solution:-
Calculation of Wages and Salaries
NDP at FC = NNP at FC – Net factor income from abroad
NDP at FC = ₹ 30,000 – ₹ 700
NDP at FC = ₹ 29,300
NPD at FC = Compensation of Employees (Wages and Salaries + Employers contribution to Provident Fund) + Mixed Income of Self-Employed + Operating Surplus
₹ 29,300 = Wages and Salaries + ₹ 3,500 + ₹ 12,000
Wages and Salaries = ₹ 29,300 – ₹ 3,500 – ₹ 12,000
Wages and Salaries = ₹ 13,800
Calculation of Gross Domestic Capital Formation
GDP at MP = NDP at FC + Consumption of Fixed Capital + Net Indirect Taxes
GDP at MP = ₹ 29,300 + ₹ 300 + ₹ 300
GDP at MP = ₹ 29,900
GDP at MP = Private Final Consumption Expenditure + Government Final Consumption Expenditure + Gross Domestic Capital Formation + Net Exports
₹ 29,900 = ₹ 11,000 + ₹ 14,000 + Gross Domestic Capital Formation + ₹ 3,000
Gross Domestic Capital Formation = ₹ 29,900 – ₹ 11,000 – ₹ 14,000 – ₹ 3,000
Gross Domestic Capital Formation = ₹ 1,900
Anurag Pathak Changed status to publish November 6, 2023
