Which of the following will be included in National Income?
Which of the following will be included in National Income?
(a) Sale of bonds by a company
(b) Transport expenses by a firm
(c) Interest on loan paid by households to banks
(d) None of these
Anurag Pathak Changed status to publish December 13, 2023
Ans – (d)
Explanation:-
(a)
The sale of bonds by a company is merely an ownership transfer of financial assets and it does not add to the current flow of goods and services.
(b)
The transport expenses by a firm is a transfer payment and it is not added to the national income.
(c)
Interest on loans paid by households to banks is the interest paid on the loan taken for consumption purposes. It does not add to the current flow of goods and services.
Anurag Pathak Changed status to publish December 13, 2023
