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Use the following information given to answer this question Total of all expenditure incurred during...

Economics
JAMB 2019

Use the following information given to answer this question

Total of all expenditure incurred during the year ₤ 80,000m
Indirect taxes on goods and services ₤ 8,000m
Capital consumption ₤ 6,000m

 

National income is__________

  • A. ₤ 74,000m
  • B. ₤ 66,000m
  • C. ₤ 60,000m
  • D. ₤ 14,000m
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Correct Answer: Option B
Explanation

National Income = Expenditure - Indirect taxes - Capital consumption (Depreciation)
N.I = 80,000 - 8,000 - 6,000 = ₤ 66,000m


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