Calculate National Income and Personal Disposable Income:

		(Rs.crores)
(i)	Personal tax	80
(ii)	Private final consumption expenditure	600
(iii)	Undistributed profits	30
(iv)	Private income	650
(v)	Government final consumption expenditure	100
(vi)	Corporate tax	50
(vii)	Net domestic fixed capital formation	70
(viii)	Net indirect tax	60
(ix)	Depreciation	14
(x)	Change in stocks	(-) 10
(xi)	Net imports	20
(xii)	Net factor income to abroad	10

Computation of National Income:
National Income = Private final consumption expenditure + Government final consumption
expenditure + (Net domestic fixed capital formation + depreciation + change in stock) -
net imports - depreciation - Net Indirect Taxes - Net factor income to abroad
National income = 600 + 100 + (70 + 14 - 10) - 20 - 14 - 60 – 10
or National income = Rs 670 crore
Computation of Disposable income:
Personal Disposable Income = Private income - Undistributed profits - Corporation tax –Personal tax
or, Personal Disposable Income = 650 - 30 - 50 – 80
or, Personal Disposable Income = Rs 490 crore