Consider the following national income accounting data for an economy in a year. All figures are in billions of dollars.

$ billions

Personal consumption expenditures 254

Net foreign factor income 4

Transfer payments 12

Rents 14

Consumption of fixed capital (Depreciation) 25

Statistical discrepancy 2

Social Security contributions 20

Interest 24

Proprietors' income 35

Net Exports 11

Dividends 15

Compensation of employees 225

Taxes on production and imports 18

Undistributed corporate profits 21

Personal taxes 26

Corporate income taxes 20

Government purchases 72

Corporate profits 56

Net private domestic investment 33

Imports 15

Use the above data and clearly show the steps to calculate:

Question:

(a) Gross Domestic Product (GDP) by both the expenditures and the income approaches.

(b) Net Domestic Product (NDP) and National Income (NI) by making the required adjustments to NDP.

(c) Personal Income (PI) and Disposable Personal Income (DPI).

(Hint: See Tables 7.3, 7.4 & 7.5 in textbook.Author Baya, Micheal, & Jeffery Prince, Managerial Economics & Business, 9th ed.,

(ISBN; 978-1259896422)