Business Studies

Business Studies

Homework One Econ 201 Name
Due Wednesday June 8
1) National Product and Income Accounts

Given the following information, answer the next four questions:
Personal consumption expenditures 241
Transfer payments 12
Statistical discrepancy 1
Rents 14
Depreciation (capital consumption allowance) 27
Net interest 12
Net exports (X-M) 11
Compensation of employees (wages) 223
Indirect business taxes 18
Profits (Corporate and proprietors’ income) 89
Government purchases 72
Gross investment 60

GDP as calculated by the expenditure approach?
GDP calculated by the income approach:
a. National income at factor prices
b. National income at market prices